IndiaMART’s Stake In Mobisy Increases To 27.21% On Conversion Of Debentures To CCPS

B2B marketplace IndiaMART’s stake in Bengaluru-based Mobisy Technologies, which operates SaaS startup Bizom, has increased to 27.21% from 25.08% earlier following conversion of debentures to preference shares. 

Last year, IndiaMART invested INR 8 Cr in Mobisy by subscribing to 80,000 compulsorily convertible debentures (CCD).

In an exchange filing on Friday (September 6), the B2B marketplace said, “ Consequent to the event of conversion being triggered, the board of directors of Mobisy in its meeting held today … approved the allotment of 45,407, 0.001% compulsorily convertible preference shares (CCPS) of the face value of Rs. 1/- each to the company.”

This resulted in the increase in IndiaMART’s stake in Mobisy on a fully diluted basis.

Founded in 2007 by Lalit Bhise, Mobisy’s Bizom is a SaaS-based distribution technology solutions provider for brands and B2B retailers. 

It allows businesses to digitise end-to-end sales and distribution platforms from Sales Force Automation (SFA), Distributor Management System (DMS), and retail execution and management.

In January last year, IndiaMART invested approximately INR 15.1 Cr to acquire a 7.96% stake in Mobisy via a secondary share purchase of existing investor securities. This investment increased IndiaMART’s stake in Mobisy to 25.08%. 

Before that, in 2020, Mobisy issued 100 equity shares to IndiaMART at INR 100 per share, totalling INR 77K. Additionally, it also offered 1,28,593 preference shares to IndiaMART for INR 10 Cr at a price per share of INR 778.

Founded in 1996 by Dinesh and Brijesh Agarwal, IndiaMART connects buyers with suppliers. It enables sellers to list on its platform and earns revenue from leads, business enquiries and services offered to its clients. 

It is pertinent to note that IndiaMART has acquired stakes in several startups over the past few years. For instance, it acquired a 10% stake in fraud detection startup Baldor Technologies for INR 89.7 Cr (about $10.7 Mn) via a secondary transaction in May. 

In February 2022, it infused INR 13.75 Cr in Adansa Solutions, the parent company of cloud-based fintech startup Realbooks to acquire a 26% stake.

The B2B marketplace posted a 37.3% rise in its consolidated net profit to INR 114 Cr in the June quarter (Q1) of the financial year 2024-25 (FY25) from INR 83 Cr in the same period last year. Its operating revenue grew 17.4% to INR 331.3 Cr during the quarter under review from INR 282.1 Cr in Q1 FY24.

Shares of IndiaMART ended today’s trading session 1.34% lower at INR 2,990 on the BSE.