PharmEasy listing pull-out a sign of start-up fatigue: Market experts

Shares of new-age companies have dropped more than 60% amid liquidity squeeze.

India’s largest online pharmacy PharmEasy’s decision to cancel its listing plans reinforces the problems start-ups face when it comes to tapping the public markets.

Bolstered by successful listings of Zomato, Nykaa, and Policy Bazaar, PharmEasy parent firm API Holdings filed for a Rs 6,250-crore initial public offering (IPO) with markets regulator Securities and Exchange Board of India in November 2021.

Since then, the market has turned on its head with shares of new-age companies dropping more than 60 per cent from their highs amid tightening liquidity conditions. This queered the pitch for new-age companies, such as Oravel Stays (Oyo Hotels