Indiamart Intermesh said that it has entered into agreement to acquire 10% stake of Baldor Technologies (IDfY) to offer various Software as a Service (SAAS) based solutions for businesses.
IDfy is an Integrated Identity Platform offering products and solutions for KYC, Background Verifications, Risk Mitigation, Digital Onboarding and Digital Privacy. With more than 12+ years of experience and 2 million verifications per day, they are pioneers in this industry. The total turnover for IDfy for the financial year ended March 31, 2023 was Rs 117 crore.The company will acquire 10% stake for total consideration of Rs 89.69 core.
The company will acquire 100 equity shares, 3,55,019 Compulsory Convertible Preference Shares (convertible into 17,73,495 equity shares) and 2,32,810 Compulsory Convertible Debentures (convertible into 6,95,822 equity shares) from existing investors of IDfy.
Commenting on the investment, Dinesh Agarwal, founder and managing director of IndiaMART, emphasized the significance of IDfy's offerings in todays evolving business environment. In an era where trust and authenticity are paramount, IDfys expertise in background verification and authentication aligns seamlessly with IndiaMARTs mission to empower businesses digitally, he stated. Agarwal further highlighted the importance of such services in enabling secure and reliable transactions, crucial for the growth and sustainability of businesses in the digital age.
Ashok Hariharan, CEO of IDfy, also commented, "MSMEs are the backbone of any economy. We are thrilled to collaborate with IndiaMART to empower MSMEs and expand their businesses while effectively managing risks and fraud. This partnership leverages the strengths of IDfy's expertise with IndiaMART's forward-thinking vision. This investment from IndiaMART signifies a pivotal moment for IDfy, marking a new chapter of growth and innovation. We are looking forward to working closely with Mr. Dinesh and the entire IndiaMART team.
IndiaMART is Indias largest online B2B marketplace for business products and services. IndiaMART makes it easier to do business by connecting buyers and sellers across product categories and geographies in India through business enablement solutions. IndiaMART provides ease and convenience to the buyers by offering a wide assortment of products and a responsive seller base while offering lead generation, lead management and payment solutions to its sellers.
The company reported a 37% rise in standalone net profit to Rs 92 crore on a 17% increase in revenue from operations to Rs 299 crore in Q4 FY24 as compared with Q4 FY23.
The scrip shed 0.29% to end at Rs 2,506.65 on Wednesday, 29 May 2024.
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