Reliance Retail has acquired ownership of all Netmeds’ subsidiaries for $83 Million. Netmeds is a licensed e-pharma website that sells authenticated prescription and over the counter (OTC) medicines along with other health products.
This deal has given Reliance 60% holding in Vitalic Health Pvt. Ltd., the Parent company of Netmads, and 100% direct ownership of its subsidiaries. Vitalic and its subsidiaries are collectively known as Netmeds.
After the COVID-19 crisis, online medical stores have seen growth. This is the reason e-commerce giants have also shown their interest in the segment, Recently Amazon began e-pharmacy starting Bangaluru. Pharmeasy and Medlife have proposed a merger, and Flipkart has also made a team to start an e-pharmacy.
It is worth noting that India is yet to finalize regulations for online drug sales, or e-pharmacies. Many trader groups are against e-pharmacies and have made several complaints. They claim that e-pharmacies could lead to the sale of medicines without proper verification. Now it should be the Government’s call to look into this segment and make proper regulations before it is too late.
