MapmyIndia is setting up a new joint venture in Indonesia with Hyundai AutoEver by the name of PT Terra Link Technologies
The digital mapping company will invest $4 Mn (about 33.8 Cr) to acquire a 40% stake in the JV, while the remaining 60% stake will be held by Hyundai AutoEver
MapmyIndia's board has also approved the company’s proposal to invest an additional $0.5 Mn in its subsidiary CE International
Geotech company MapmyIndia
is setting up a new joint venture in Indonesia with Hyundai AutoEver, a wholly-owned subsidiary of recently-listed carmaker Hyundai Motor, as it aims to expand its market beyond domestic borders.
In an exchange filing today (November 8), the company said it has received approval from its board to incorporate the proposed JV, called PT Terra Link Technologies, at an initial cost of $10 Mn (about INR 84.4 Cr).
The digital mapping company will invest $4 Mn (about 33.8 Cr) to acquire a 40% stake in the JV, while the remaining 60% stake will be held by Hyundai AutoEver.
MapmyIndia will “acquire a stake of 40% in the proposed JV for $4 Mn by way of subscribing to 65,708 common shares and the JV partner shall acquire a stake of 60% in the proposed JV for $6 Mn by way of subscribing to 98,562 common shares,” the filing read.
As part of the deal, MapmyIndia will support the proposed JV to obtain and integrate all maps for South East Asia, it showed.
Meanwhile, the board of MapmyIndia has also approved the company’s proposal to invest an additional $0.5 Mn in its subsidiary CE International in one or more tranches.
It is pertinent to note that MapmyIndia incorporated CE International in 2018 to sell its products and services in the international market as a reseller. CE International generated an annual turnover of 13.51 Cr in the financial year 2023-24 (FY24) as against INR 16.82 Cr a year ago.
The development comes at a time when MapMyIndia is looking to take its products and offerings beyond India, targeting South East Asia, Middle East and North Africa regions.
Earlier today, Inc42 reported that MapmyIndia logged a 8% decline in its net profit to INR 30.35 Cr in the quarter ended September 2024 (Q2 FY25) from INR 33.09 Cr in the year-ago period.
Meanwhile, revenue from operations rose 14% to INR 103.67 Cr during the quarter under review from INR 91.08 Cr in Q2 FY24.
