Ahmedabad: Gujarat-based Infibeam Avenues Ltd announced on Friday that it has entered into an agreement to acquire a 54% stake in Rediff.com India Ltd, one of India’s oldest and renowned internet businesses.
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, Infibeam said in a stock exchange filing.
The internally funded acquisition is valued at approximately Rs.50 crore in a mix of equity and debt, said an official aware of the development.
The deal combines Infibeam’s fintech expertise with Rediff.com’s established brand and services, including cloud-based enterprise email storage, content distribution, and related commerce offerings.
This strategic move is expected to create a comprehensive digital environment where financial transactions and content consumption coexist seamlessly, the company said in a media statement.
“I am delighted to pass on this iconic brand and its legacy into the capable hands of Mr. Vishal Mehta and Infibeam Avenues. I strongly believe that the new avatar of Rediff under his leadership will further strengthen the company and accelerate business growth.” Balakrishnan, who founded Rediff.com in 1996, will continue to advise the company,” said Ajit Balakrishnan, Chairman and CEO of Rediff.com.
Infibeam Avenues, known for its digital payment gateway CCAvenue and enterprise software platforms, plans to integrate its various digital payment services, platform business offerings, and AI solutions with Rediff.com’s services. This integration is expected to enhance user engagement and open new revenue streams, the company said in a stock exchange filing.
Vishal Mehta, chairman and managing director, Infibeam Avenues Ltd, said, “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.”
Rediff.com boasts a substantial user base, ranking among the top 1,000 sites globally in traffic with over 55 million monthly visitors, according to the company statement. This vast user base provides valuable insights into consumer behavior, preferences, and spending patterns, which Infibeam plans to leverage for cross-selling financial products using artificial intelligence, such as loans, insurance, and investment products, the company stated.
The acquisition is set to diversify Infibeam’s portfolio by incorporating Rediff.com’s offerings, including enterprise email services for merchants, consumer financial services, and content businesses, it said. This expansion is expected to enhance Infibeam’s footprint in the digital economy, backed by its regulatory capabilities, it further stated.