IndiaMART Intermesh has announced its agreement to acquire a 10% stake in Baldor Technologies (IDfy), marking a strategic move to broaden its offering of Software as a Service (SAAS) based solutions for businesses.
IDfy serves as an Integrated Identity Platform, specializing in KYC, Background Verifications, Risk Mitigation, Digital Onboarding, and Digital Privacy solutions. With over 12 years of industry experience and processing 2 million verifications daily, IDfy stands as a pioneer in its field. Notably, IDfy reported a turnover of Rs 117 crore for the financial year ending March 31, 2023.
The acquisition will see IndiaMART Intermesh acquiring 100 equity shares, 3,55,019 Compulsory Convertible Preference Shares (which are convertible into 17,73,495 equity shares), and 2,32,810 Compulsory Convertible Debentures (which are convertible into 6,95,822 equity shares) from existing investors of IDfy, amounting to a total consideration of Rs 89.69 crore.
Dinesh Agarwal, founder and managing director of IndiaMART, emphasized the importance of IDfy’s offerings in today’s evolving business landscape. He noted that in an era where trust and authenticity are paramount, IDfy’s expertise in background verification and authentication perfectly aligns with IndiaMART’s mission to digitally empower businesses. Agarwal underscored the critical role of such services in facilitating secure and reliable transactions, essential for business growth and sustainability in the digital era.
Ashok Hariharan, CEO of IDfy, expressed enthusiasm about the collaboration, highlighting the significance of empowering MSMEs (Micro, Small, and Medium Enterprises) and expanding their businesses while effectively managing risks and fraud. He described the partnership as a convergence of IDfy’s expertise with IndiaMART’s forward-thinking vision, marking a pivotal moment for IDfy’s growth and innovation.
IndiaMART Intermesh is India’s largest online B2B marketplace, facilitating business transactions by connecting buyers and sellers across various product categories and geographies in India. The platform offers business enablement solutions, ease of transaction, and convenience to buyers and sellers alike.
The acquisition of a stake in IDfy signals IndiaMART’s commitment to enhancing its suite of business solutions, further streamlining operations and bolstering trust and authenticity in digital transactions.