M&A: Startups Unlocking a Dream to Swim with Sharks & Whales of the Market

In this technology-driven world, established tech companies see startup acquisitions as a way to acquire cutting-edge technology, innovative products, and exceptional talent, giving them a competitive edge in the market.

Top Three Notable Merging & Acquisition Deals of 2023

A subsidiary of Adani group AMG Media Networks acquired a majority stake in IANS

This acquisition deal was finalized in December 2023. According to the deal, Adani has acquired a 50.5 percent stake in newswire agency, IANS India Pvt Ltd for Rs.5.1 lakh. The process of transferring shares related to the acquisition was approved by the Board of IANS at its meeting held on December 15, 2023. Adani Group has created this organization to carry out their business and media-related activities.

The company filing said, “AMNL has also signed a shareholders’ agreement with IANS and Sandeep Bamzai, a shareholder of IANS, to record their inter-se rights concerning IANS”.

Reliance Retail Ventures acquired a stake in Ed-a-Mamma

Ed-a-Mamma is a premium clothing brand that offers kids and maternity wear. The market report says that Ed-a-Mamma is of Rs. 150 crore brand founded by Alia Bhatt. Last year, Reliance Retail Ventures acquired a 51 percent stake in the startup named Ed-a-Mamma. This strategic move will help the startup to expand its footprints into different sectors of the economy. After the acquisition, very few new categories they have introduced like personal care products, baby furniture, children's storybooks, and an animated series. This deal was signed last September.

About this deal Director Isha Ambani said, “With sustainability as its core proposition, the brand has garnered acclaim for its meticulous attention to detail, using ethically sourced materials and eco-conscious production processes. This aligns seamlessly with Reliance Brands' vision of fostering a more responsible future for the fashion industry”.

CarTrade Tech acquired Sobek Auto India

A famous name in the auto classified platform, CarTrade Tech has signed an acquisition deal with Sobek Auto India which is worth Rs.537 crore. The company has signed a share purchase agreement to acquire a 100 percent stake of Sobek from OLX India BV subject to completion of certain conditions. The deal was signed last July.

The stock exchange filing of the company says, “The acquisition is in furtherance of the strategic objectives of the company to undertake investments which provide synergistic benefits to the existing businesses of CarTrade Tech”.

Top Three Notable Merging & Acquisition Deals of Q1 2024

Veranda Learning Solutions acquired Tapasya Educational Institutions

Educational platform Veranda has acquired a 50 percent stake from Tapasya Educational Institutions through a deal of Rs.120 crore. Tapasya, which started its journey in 2009, offers a wide range of courses and ancillary services intermediate, pre-University, and graduation programs like B.Com and BBA. They also have professional courses such as CA and CMA and integrated programs. By this acquisition, Veranda wants to achieve the target of 1 million students by FY24. The deal was signed in March 2024.