Mumbai
Leading B2B marketplace IndiaMART on Tuesday said it has entered into an agreement with accounting software solutions provider Busy Infotech to acquire 100 per cent stake in the latter. "IndiaMART, the largest B2B marketplace of India, has entered into an agreement to acquire 100 per cent ownership of Busy Infotech for a cash consideration of Rs 500 crore," the company said. According to the company, the proposed acquisition would help IndiaMART to offer accounting software solutions to businesses in line with its long term vision of enabling businesses.
"Busy has been an established brand in the Indian accounting landscape for the last 25 years. Lakhs of Indian businesses rely on Busy accounting software for their accounting needs, and their value proposition fits in well with Indiamart's long term objective of making doing business easy for Indian businesses," said IndiaMART founder and MD Dinesh Agarwal. Meanwhile, IndiaMART announced that it has participated in the Series B investment round of Simply Vyapar Apps of Rs 217.6 crore. "As part of the transaction, IndiaMART has acquired shares for an aggregate investment of Rs 61.55 crore, via a mix of primary and secondary share purchases.
Post this round, IndiaMART shall hold 27 per cent in Vyapar on a fully diluted basis," the company said. IndiaMART had previously led Vyapar's Series A investment round in September 2019, by investing Rs 31.2 crore for a 26 per cent stake in the company. The recent Series B round has been led by WestBridge Capital, along with the participation of existing investor India Quotient. After Section B round, Vyapar's valuation would be at around Rs 883 crore, the company said. Sumit Agarwal, founder and CEO of Vyapar said:
"We are on a mission to digitise the whole ecosystem of MSMEs in India. The strong participation in our follow-on round from market leader Indiamart and existing investor India Quotient gives us more confidence to become market leader in our segment."