Online pharmacy Truemeds is in advanced talks to acquire ecommerce unicorn DealShare in a share-swap deal valuing DealShare at just over $90 million, a sharp decline from its $1.7 billion peak valuation in 2022, according to inc42.com. The deal would see Truemeds issue shares to DealShare’s investors at a valuation near $600 million, with final terms still being negotiated.
The proposed transaction is structured to allow Truemeds to access DealShare’s cash reserves, which exceed $90 million, without an upfront cash payment. This indicates the deal is largely focused on DealShare’s cash rather than its operating business. Both startups share WestBridge Capital as a common investor. DealShare was founded in 2018 and raised nearly $400 million from investors including Tiger Global and Alpha Wave Global before reaching unicorn status in 2022.
DealShare started as a community-led ecommerce platform targeting value-conscious consumers in smaller cities and towns. The sharp valuation drop from $1.7 billion to around $90 million reflects significant distress in the startup’s business. The acquisition would mark a notable consolidation in the ecommerce and online pharmacy sectors, with Truemeds expanding its footprint by absorbing DealShare’s assets and cash balance.
DealShare’s cash balance of over $90 million and the share-swap structure are central to the deal, which remains subject to final agreement. Both DealShare and Truemeds had not responded to queries at the time of reporting, according to inc42.com.