Fintech company Infibeam Avenues Ltd. announced on Friday, 2nd August, that it has entered into a definitive agreement to acquire a 54.1 percent stake in internet business firm Rediff.com India Ltd.
This internally funded acquisition marks a significant milestone for Infibeam Avenues, marking the beginning of its consumer-facing digital financial service as an aggregator backed by mainstream news, cloud-based enterprise email storage, and collaboration platform,” stated the company, which is headquartered in GIFT City in Gujarat.
According to corporate sources quoted by multiple portals, the acquisition is valued at ₹50 crore and is a combination of debt and stock. Rediff.com India Ltd. was founded in January 1996 and has ₹36 crore in revenue as of right now. Approximately 38 million people visit it each month, placing it in the top 1,000 most popular websites worldwide.
Who is Vishal Mehta?
Infibeam's website says, Vishal Mehta is the Chairman & Managing Director of Infibeam Avenues Limited. He shoulders an imperative role in building and scaling a world-class team that designs innovative digital solutions and powers financial transactions globally under their flagship brand CCAvenue, with a vision to be a global fintech engine.
His goal is to grow Infibeam Avenues into a global digital payment infrastructure network. As such, the network will handle international financial transactions, facilitating easy transactions for businesses, corporations, startups, retailers, and governments throughout the world.
What did Vishal Mehta say?
Vishal Mehta, Chairman and Managing Director of Infibeam Avenues Ltd, stated, “This transaction harnesses the synergies between Infibeam Avenues’ fintech expertise and Rediff.com’s esteemed brand legacy. We are poised to cement our position as a leader in the dynamic landscape of digital finance aggregation, cloud storage and content distribution. With this synergy, we are poised to unlock new dimensions of growth, redefining the essence of cloud and fintech engagement,"
Post investment, Rediff.com will become a subsidiary of Infibeam Avenues.
In the first quarter of financial year 25, the company recorded gross revenue of ₹752 crore and profit after tax (PAT) of ₹50.4 crore. When compared to the same quarter in the prior fiscal year, net sales rose by 20% and PAT jumped by 59% in the first quarter.