Saturday, April 20

E-commerce Conglomerate Infibeam raises $6.2 Million from TV18

Infibeam, an Indian e-commerce and internet conglomerate has raised Rs 40 crore from Mukesh Ambani’s supervised TV18 Broadcast Limited. The Ahmedabad based e-commerce giant has signed a stock-exchange disclosure according to which Infibeam will issue fully convertible warrants equivalent to a 0.4% stake in the company upon conversion.

Infibeam which was a news maker in the year 2017, had the preferential shares been issued at a conversion price of INR 186.91 per equity share as per the company’s BSE filing on February 14, 2018.

The conglomerate had recorded a similar transaction in the past with Bennett&Coleman Company Limited, that invested Rs 60 crore in Infibeam by subscribing to preferential warrants in January 2017.

Infibeam was founded by former Amazon executive Vishal Mehta. It posted a net profit of Rs 30.8 crore on consolidated total income of Rs 214.94 crore for the quarter ended December 2017.

The company was started in 2007 and has a total number of 1300 employees. It provides Online Retailing, e-commerce software and internet services to small and large merchants, enterprises and government. The company which was previously following primarily subscription-based revenue model has now switched to ‘subscription and transaction’ based revenue model. It also earns from online platforms and payments.

The company received $8.8 million funding post IPO, $68 MILLION AT IPO and $4.8 million in Series A funding.

Infibeam is recognised as one of the youngest company to list on a National Exchange when it floated its initial public offering in March 2016. Infibeam is a multi-channel e-commerce company that in spite of raising millions in funding, ends up in Loss at the end of most of the quarters.

Previous year, Infibeam acquired Avenues India, that runs payment gateway CC Avenue and has also obtained custom software developer DRC systems. The company also owns a digital marketing firm Odigma which it possessed in 2014.