Surya Healthcare Buys Medimart

NEW DELHI: Pharma retail chain Surya Healthcare, majority owned by Surya Pharmaceuticals, has bought Hyderabad-based Medimart Pharmacy , which runs 42 drug retail outlets in Andhra Pradesh, for Rs 11 crore. “Medimart gives us immediate presence in Hyderabad and we will use the platform to expand in South India,” Hari Bhatia, associate director and head retail at Surya Pharmaceuticals , told ET.

Owned by a local doctor RR Reddy and few financial partners, Medimart Pharmacy has annual sales of around Rs 16 crore but is making losses. Surya Healthcare is also in talks with two regional players in Mumbai and eastern India for other acquisitions, Bhatia said.

The scrip of Surya Pharmaceuticals, which owns 60% in Surya Healthcare, remained almost unchanged to close at Rs 22 at the BSE on Monday. The Chandigarh-based company aims to become the country’s largest medicine retail chain in the . 47,000-crore drug retail market dominated by about seven lakh standalone stores.