The Mumbai-based pharma, founded in 2014 at a valuation of $5.5 billion, is set to raise a fresh fund of Rs 2,400 crore today, at a 90 percent discount, according to reports.

Despite raising a total of $1.2 billion in investment through 16 funding rounds and acquiring Thyrocare Technologies in June 2021, the online pharmacy's valuation has dropped to $600 million.

Backed by investors like Temasek, TPG Growth, Process, B Capital and Fundament Partnership, the company continues to face challenges in India's regulated pharmaceutical market dominated by branded generic drugs.

Pharmacy's effort to bridge the gap between offline sellers and online buyers by partnering with manufacturers and retailers has led to significant growth. It has more than 12 million registered users and 17 million active users every month.

The pharmacy's parent company, API Holdings, has grown to become a leading online pharmacy with over 12 million registered users and 17 million monthly active users. The company recorded a revenue of Rs 2,361 crore in FY2021. Around the same time, Tata Group-owned 1mg and Reliance-owned Netmeds reported revenues of Rs 134 crore and Rs 151 crore, respectively.