Walmart-backed Flipkart has acquired online pharmacy startup SastaSundar making its foray into the crowded healthcare segment. The ecommerce major on Friday said it has signed definitive agreements for acquiring a majority stake in the eight-year-old SastaSundar, but has not disclosed the deal size.
Flipkart Health+, as the new entity will be known, will leverage the Walmart Inc.-controlled company’s pan-India network and SastaSundar’s healthtech expertise to provide consumers access to quality and affordable healthcare—first through an e-pharmacy and later via e-diagnostics and e-consultation, according to a statement issued on Friday.
Eight-year-old SastaSundar was last valued at $125 million in a financing round in 2019, according to techcrunch.com. Global investors who have backed SastaSundar include Mitsubishi Corporation and Rohto Pharmaceuticals, both from Japan.
The Kolkata-headquartered online pharmacy owns and operates SastaSundar.com. It offers a digital healthcare and pharmacy platform supported by a network of more than 490 pharmacies and is backed by investors from Japan, namely Mitsubishi Corporation and Rohto Pharmaceuticals.
Flipkart, Sr VP and Head – Corporate Development, Ravi Iyer said, “We are excited to enter this space through this investment in SastaSundar.com, a company that has established itself as a trusted partner for lakhs of consumers through genuine products, a technology-powered platform and a wide network.”
Flipkart’s chief rival, Amazon India, started selling medicines online last year. Reliance Retail, the largest retail chain in India, acquired the parent firm of online pharmacy Netmeds last year. Meanwhile, Tata Digital acquired Netmeds last year.