Tata Capital, Europe’s Partners Group, and a global private equity major may also participate in the Gurugram-based startup’s financing round. The final contours of the deal are still being worked upon, the report said quoting sources.
If the deal goes through, it could mark Gaja’s first investment from its $400-million fourth fund.
1MG Technologies was set up in 2015 by way of a demerger from BLPL (Bright Lifecare Private Limited), a division within digital health platform HealthkartPlus. As of February, the startup claims to have serviced over 70 million customers through its pharmacy, diagnostics and consultation verticals last year.
The $100-million financing will give the company the required firepower to stay in the competition at a time when the e-pharmacy business in India is witnessing a lot of deal traction.
Last month, Reliance Industries Ltd through its retail unit had acquired a majority stake in online pharma company Netmeds for around Rs 620 crore.
Online medicine and healthcare products retailer Pharmeasy has proposed a merger deal with its rival Medlife. If the deal goes through, Pharmeasy will acquire a 100% stake in Medlife, while the latter is expected to pick up a 19.59% stake in Pharmeasy.
Meanwhile, Amazon launched its ‘Amazon Pharmacy’ in Bengaluru while e-commerce player Flipkart is also looking to foray in the space.
IMG has raised about $173 million in funding to date. It last raised about $10 million from the Bill & Melinda Gates Foundation in February this year to meet the current and future operational needs of its business.
The startup had closed its $70-million Series D funding round led by European family office Corisol Holdings and the International Finance Corporation (IFC), a part of the World Bank Group, last June. The round also saw the participation of South Korea’s Redwood Global, Korea Omega Healthcare fund, and existing investors Sequoia Capital, Omidyar Network, Maverick Ventures, Kae Capital, and HBM Healthcare.