Online classifieds platform Quikr has acquired real-estate portal CommonFloor for an undisclosed sum. The merger of the two entities will create a strong online real-estate industry entity.
Based on the share-swap ratio, Quikr's value is estimated to be about Rs 10,000 crore, according to The Economic Times. A company spokesperson declined to confirm the deal amount to IBTimes India.
The deal would mutually benefit both companies, although the two brands will operate independently, said Quikr CEO Pranay Chulet in a press release.
"We see great synergies between us and CommonFloor. We both believe in creating businesses that are strong on growth as well as monetization and have a tremendous cultural fit. With a highly successful recent campaign, launch of industry defining Street Vision, and now QuikrHomes is off to a great start in 2016. We expect this transaction to not only accelerate the growth of QuikrHomes, but also our other verticals," Chulet said.
The merger will be Quikr's biggest strategic move in the real-estate category since the launch of QuikrHomes about four months ago. According to reports, the deal will give CommonFloor access to Quickr's customer database while QuikrHomes will benefit from CommonFloor's structured data and domain expertise.
US-based investment firm Tiger Global Management is an investor in both companies. Meanwhile, the merger is expected to be completed in the next two-three months, The Economic Times added.
