Reliance Industries and its chairman Mukesh Ambani have togetherly attaining the peak of growth amid the COVID-19 outbreak and the faltering state of the economy. The largest company in India by market capitalization has been keeping its trend upward and also meeting the competitive grounds and addressing the global competitors that they must get past through the Indian Giant to cement their business in the country.
Reliance has been exploring and rooting its brand on the grounds that connect every citizen. From telecom, petroleum, communication, textiles, media, television, retail, to banking, the blue-chip company has been spreading its hands across every industry making it as the fast-growing multinational conglomerate company in the country.
In line with that, Ambani has got a new leg in the pharmaceutical industry after Reliance had acquired a majority stake in the online pharmacy Netmeds for about 6.2 billion rupees ($83.08 million) -Rs 620 crore in cash.
The major acquisition from one of the significant industries has come days after the US E-commerce giant Amazon launched an online drug service in India. According to the reports, Reliance said on Tuesday that its investment represents about 60% holding in Vitalic Health Pvt ltd and 100% direct ownership of its subsidiaries.
Vitalic and its subsidiaries, collectively known as Netmeds, were incorporated in 2015. The deal sets a competition between Reliance and Amazon in one of India's crucial corridors.
Isha Ambani, the Director of Reliance Retail Ventures said that the addition of Netmeds enhances Reliance Retail's ability to provide good quality and affordable healthcare products and services and it also broadens its digital commerce proposition to include most daily essential needs of consumers.
The deal that was reached amid the pandemic and the lockdown is expected to provide a significant entry into the e-commerce space for the Reliance Retail in the pharmacy industry. Netmeds, founded by Pradeep Dadha, is currently delivering medicines, personal, and baby care items, and providing doctor bookings and diagnostics on its website and the mobile application, and the deal was attained when the startup has been looking for a buyer for over a year.
Amazon India has launched its e-pharmacy service in Bangalore last week and the nationwide plans to launch in the rest of the country soon as the e-commerce platform has been stirring in the country with the competition between Amazon, Walmart- owned Flipkart, and Reliance's JioMart.