Gurugram-based 91Digital Web Pvt. Ltd, which operates gadgets discovery portal 91mobiles.com, has acquired a majority stake in 500 Startups-backed price comparison site Pricebaba.comfor an undisclosed amount. Following the deal, California-based 500 Startups will exit the venture, the company said in a statement.
Pricebaba will continue functioning as a separate entity whereas one of the co-founder Annkur will move to an advisory role in the company, the statement adds.
Co-founded in 2012 by Annkur P Agarwal and Tirthesh Ganatra, PriceBaba initially started as a price comparison engine for mobile phones, only aggregating offline retailers. The company later decided to start an online price comparison service and expanded to other categories such as laptops, home appliances and etc. The platform currently has a user base of 5 million who regularly come to the site to find the best deals.
PriceBaba had previously raised an undisclosed amount from 500 Startups’ India-focused fund 500 StartupWallah. Prior to that, it had raised an undisclosed amount of seed investment from five investors in January 2013. The company was also a part of 500 Startups’ spring 2013 batch.
“Trust and respect among the founders is the most important ingredient I have observed over the years and thus this deal was relatively easier to execute,” said Agarwal.
As part of the acquisition, 91mobiles plans to invest $500K in Pricebaba to develop content in 10 regional languages including Audio/Visual content targeted towards new internet users. The online platform will continue to focus on helping buyers make decisions for electronics products including mobile phones, TV, washing machines, ACs, refrigerators and etc.
“Over the years, 91mobiles.com has emerged as the go-to platform for consumers who are looking to buy a smartphone. While smartphones remain the largest electronics category online, we are now seeing sharp growth in the number of people researching online before purchasing appliances and electronics other than smartphones as well,” said Nitin Mathur, co-founder of 91mobiles, in the statement.
91mobiles currently has 20 million users visiting its site to research the best buys for mobiles. The company is associated with OEM’s such as Nokia and Oppo as well as e-tailers like Amazon, Tata Cliq, Paytm and others.