Financial services platform Paytm has taken a majority stake in the combined entity of discovery and deals platform Nearbuy and Little Internet. The merged entity is expected to be valued at about $100 million with a fresh capital infusion of $25 million by Paytm.
Sequoia Capital to Continue as Shareholder
While the two brands will keep on existing autonomously, Little Internet organizers Manish Chopra and Satish Mani would proceed onward. Sequoia Capital, alongside different financial specialists of Nearbuy will keep on being investors of the merged entity.
Merger Owns 88% of the Share
“In the local commerce space, Little Internet and Nearbuy combined will own 88% of the market share,” said Ankur Warikoo, Nearbuy’s CEO. This merger will bring the total merchants’ count to over 40,000, as the companies are looking forward to expand that number to 100,000 by 2018-end.
Deals can be accessed from Paytm App
Customers can now access Nearbuy and Little Internet deals from Paytm app once it is integrated on the platform in the next two month or two, added Warikoo.
This transaction comes as Paytm hopes to support its position in the offline space enabling its merchants to have the alternative of obtaining more clients by offering deals and discounts.