Saran Chatterjee, CEO at Housejoy, said that there is no cash involved in this deal. However, according to him, in terms of equity, the deal is favourable to the founders of MyWash. About 10 team members, along with the three founders, are expected to join Housejoy with this deal.
The acquisition would give Housejoy a foothold in “a strategic category” to help increase repeat customer usage as it looks to scale to 10,000 laundry services per day over the next year from around 1,000 at present.
Founded in 2014 by Silus Reddy Chintapalli, Raghu Bharat and Balaji Ashok, MyWash, is an on-demand laundry and dry washing service in India. The startup had raised $1 Mn in funding from early-stage fund Orios Venture Partners, and then was in talks to raise series A round.
Housejoy was launched in January 2015 by Arjun Kumar and Sunil Goel, provides on-demand house cleaning service. Besides, it also offers in-house computer repairs, beauty treatments, bridal services, maintenance and home repairs. The company takes a 10-25% cut of the service depending on the service it provides.
Housejoy is currently operational in Bangalore, Delhi, Mumbai, Hyderabad and Chennai.