Lavender Rose Investment Ltd, a Mauritius-based unit of private equity firm Warburg Pincus, sold shares worth Rs 550 crore in pharmacy retail chain MedPlus Health Services Ltd ahead of its initial public offering (IPO).
Lavender Rose sold around 6.9 million shares or a 6.2% stake in MedPlus Health Services to investors, including asset management and life insurance business of SBI Mutual Fund, Motilal Oswal Mutual Fund and Malabar India Fund, an addendum to the MedPlus IPO prospectus showed.
The shares were sold at Rs 796 a share, an upper band of the IPO. Currently, Lavender Rose has a 24.6% stake in the Hyderabad-based firm, which operates one of India’s largest pharmacy chains.
The IPO will open on 13 December and close on 15 December. The price band for the issue will be at Rs 780-796 a share.
MedPlus Health has already cut its IPO size to Rs 1398.30 crore from Rs 1,639 crore. The IPO comprises a fresh issue of Rs 600 crore and an offer for sale of up to Rs 798 crore by its existing shareholders and promoters.
Among selling shareholders, Premji Invest's PI Opportunities Fund is seeking to sell up to Rs 623 crore of shares, Natco Pharma plans to sell Rs 10 crore worth of shares.
In February this year, New York-headquartered Warburg Pincus invested Rs 77.78 crore ($10.68 million) through Lavender Rose Investment and PremjiInvest put in Rs 22.21 crore ($3 million) through its alternative investment fund (AIF) PI Opportunities Fund-I.