InsuranceDekho, RenewBuy Nearing Merger At Unicorn Tag

SUMMARY

The combined entity will be valued at $1 Bn, a source familiar with the matter told Inc42.

The merger places RenewBuy’s valuation at around INR 3,000 Cr, while InsuranceDekho is valued above INR 5,000 Cr.

InsuranceDekho is also in talks to raise another funding round.

InsuranceDekho and RenewBuy are close to finalising a merger that would value the combined entity at $1 Bn, a source familiar with the matter told Inc42.

“This will create one of the largest insurance marketplaces in India,” the source said, adding that the merged entities will operate under a single brand, positioning the new entity to compete directly with other major player in India’s insurance marketplace sector.

Notably, the combined entity is expected to be valued at over INR 8,000 Cr. The merger places RenewBuy’s valuation at around INR 3,000 Cr, while InsuranceDekho is valued above INR 5,000 Cr.

The merged entity will be second only to the listed insurtech major PB Fintech.

Additionally, InsuranceDekho is in talks to raise another funding round, though the value of this round is not yet known.

Livemint reported the development first.

In October last year, the company raised $60 Mn as a part of its ongoing Series B funding round.

Founded in 2015 by Balachander Sekhar and Indraneel Chatterjee, RenewBuy offers comparisons between different insurance policies to customers via its network of 40 insurance providers.

Meanwhile, InsuranceDekho was founded as the insurance arm of online car marketplace CarDekho in 2017 by Ankit Agrawal and Ish Babbar. The company received $20 Mn from the parent Girnar Software in 2020.

However, it was later hived off to function as a separate unit.

The company recently secured a composite insurance broking licence from the Insurance Regulatory and Development Authority (IRDA) of India to offer reinsurance service to its clients beyond insurance broking.

The company also rolled out an insurance SaaS platform to offer a comprehensive suite of digital solutions designed to streamline operations for insurance distributors.

InsuranceDekho was also reportedly mulling to acquire a majority stake in Bengaluru-based wealthtech startup BankSathi.