Healthtech Startup Generico Raises INR 10 Cr Debt From Alteria Capital

After DCGI Notices, Epharmacies Want Health Ministry To Hear Their Stance

SUMMARY

The company has also raised another INR 1 Cr from Alteria by allotting it Series A2 compulsorily convertible preference shares (CCPS)

Generico has allotted 1,000 Series B debentures, at a face value of INR 1 lakh per debenture to Alteria Capital India Fund I

In January last year, Generico had raised INR 10 Cr from Alteria Capital India Fund I as part of its Series A round

Pharmacy chain Generico has raised INR 10 Cr in debt from venture debt company Alteria Capital. The company has also raised another INR 1 Cr from Alteria by allotting it Series A2 compulsorily convertible preference shares (CCPS).

According to the company’s filings with the Ministry of Corporate Affairs (MCA) accessed by Inc42, Generico has allotted 1,000 Series B debentures, at a face value of INR 1 lakh per debenture to Alteria Capital India Fund I. The company has also allotted 98 Series A2 CCPS to Alteria, at a face value of INR 10 per share and a premium of INR 1,03,040 per share. In all, the company has raised a little over INR 11 Cr.

In January last year, Generico had raised INR 10 Cr from Alteria Capital India Fund I as part of its Series A round. At the time, the company had also raised $11 Mn funding from Lightbox Ventures, today, as a part of a Series A round in September 2019.

Founded in 2017 by Siddharth Gadia and Girish Agarwal, Mumbai-based Generico is a specialised pharmacy retail chain of generic medicines that are more affordable than brand-name medicines. The company had planned to utilise the funds to strengthen its supply chain, technology and healthcare prepositions.

The pharmacy chain also claimed that it would expand its presence to 150 stores in Mumbai and other cities such as Pune by 2021. Besides this, Generico was also looking to diversify into disease management that would have a deeper impact on the lives of consumers with chronic diseases.

Last month, Alteria Capital had announced its plans to raise its second venture debt fund targeting an INR 1K Cr corpus with an additional green-shoe of INR 750 Cr.

Alteria Capital is currently investing from its Fund I which has a corpus of INR 962 Cr and besides Generico, has backed companies like Rebel Foods, Lendingkart, ZestMoney, Dunzo, Portea, Toppr, Spinny, Stanza, Vogo, Melorra, Mfine, Loadshare, LBB, Maverix, Country Delight, Clover, Happay, Cropin, Cityflo, Onco, Nua, Damensch, Faces Cosmetics and Universal Sportsbiz.

According to an Inc42 Plus report titled, India’s Healthtech Landscape In A Post-Covid-19 World, the Indian healthcare market is expected to grow 4x, from $144 Bn in 2019 to $638 Bn by 2025.