API Holdings, the parent company of Thyrocare, has become debt-free after repaying its outstanding term loan of ₹1,050 crore. The company funded the repayment through proceeds from the sale of part of its Thyrocare stake and internal accruals.
Thyrocare Stake Sale Clears Debt
Docon Technologies Private Limited, the promoter and holding company of Thyrocare, sold 1,57,69,696 Thyrocare shares, representing around 9.90% of the company’s paid-up equity share capital, through market trades. Following the transaction, Docon continues to hold a controlling 51.02% stake in Thyrocare.
As per the press release, the debt repayment has also resulted in the release of the pledge on the remaining Thyrocare shares held by Docon. The company’s entire outstanding pledge linked to the debt has now been released, leaving its 51.02% holding fully unencumbered.
Focus on Profitable Growth
Alok Kumar Jagnani, Whole-Time Director and Group CFO, API Holdings, said the company had repaid its term debt without reducing its stake in Thyrocare below 51%, strengthening its balance sheet while retaining ownership.
Siddharth Shah, Vice Chairman, API Holdings, said the Thyrocare acquisition had generated significant value for shareholders. He noted that shareholders who retained their shares following the July 2021 open offer had received a 51% return, including dividends, compared with 41% from the NIFTY 50.
Rahul Guha, MD & CEO, API Holdings and Thyrocare, said the company’s zero-debt position marked the beginning of its next phase. Going forward, API Holdings will focus on profitable growth, disciplined execution and long-term value creation across its healthcare businesses.