One of India's leading pharmacy retailers-- Medplus Health Services is coming up with its initial public offering (IPO) on December 13, with a price band set at Rs 780-796 per equity share.

The Hyderabad-based company is planning to raise Rs 1,398.29 crore through its public offer, comprising fresh issuance of shares worth Rs 600 crore and an offer-for-sale of shares aggregating to Rs 798.29 crore.

The Investor PI Opportunities Fund - I will offload shares worth Rs 623 crore, while SS Pharma LLC is planning to sell Rs 107 crore worth shares through OFS.

Besides, Shore Pharma LLC, Natco Pharma, Time Cap Pharma Labs, A Raghava Reddy, K Prakurthi, Navdeep Patyal, Sangeeta Raju, R Venkat Reddy, TK Kurien, Nithya Venkataramani, Atul Gupta, Manoj Jaiswal, Rahul Garg, Kollengode Ramanathan Lakshminarayana and Bijou Kurien are selling their shares.

The quota of shares worth Rs 5 crore is reserved for the company’s employees. Eligible employees will receive their shares at a discount of Rs 78 a share to the final offer price.

The proceeds received from the IPO will be directed towards the working capital requirements of the material subsidiary Optival.

Investors can buy a minimum of 18 equity shares and in multiples of 18 equity shares. Retail investors have to pay Rs 14,328 for one lot and a maximum of Rs 1,86,264 for 13 lots.

Fifty per cent of the offer is earmarked for qualified institutional buyers, 35 per cent for retail investors, and the rest 15 per cent for non-institutional investors.

In terms of revenue from operations for FY21 as of March 2021, Medplus is India's second-largest pharmacy retailer. It has 2,000 outlets throughout Tamil Nadu, Andhra Pradesh, Telangana, Karnataka, Odisha, West Bengal, and Maharashtra that provide pharmaceutical and wellness items.

Promoters Gangadi Madhukar Reddy, Agilemed Investments and Lone Furrow Investments own 43.16 per cent of the stake in the company.

Lavender Rose Investment holds a 24.58 per cent stake in the company, followed by PI Opportunities Fund – I with a 22.07 per cent stake, Lone Furrow Investments with a 15.42 per cent shareholdings, Agilemed Investments with 14 per cent ownership, and Gangadi Madhukar Reddy with a 13.74 per cent stake.

Medplus reported Rs 63.11 crore in its profit for fiscal 2021, far above Rs 1.79 crore in FY20.

Revenue in FY21 jumped to Rs 3,069.26 crore from Rs 2,870.6 crore.