- Aurum PropTech, a proptech company, has acquired home rental startup NestAway for INR 90 Cr ($10.93 Mn). In addition to the acquisition consideration, Aurum PropTech will also inject INR 30 Cr to stabilize the business.
- NestAway was founded in 2015 and is an online marketplace for home rentals. The company turns unfurnished houses into fully-furnished and managed apartments and rents them to pre-verified tenants. Currently, NestAway features 18,000 properties on its platform and claims to have an annualized revenue of INR 30 Cr.
Till date, NestAway has secured a cumulative funding of $110 Mn from investors such as Tiger Global, UC-RNT Fund, Flipkart, Goldman Sachs and Yuri Milner. The company was valued at $220 Mn in 2019.
Aurum PropTech is a proptech company that provides technology-enabled solutions to the real estate industry. The company was founded in 2018 and has raised over $100 Mn in funding from investors such as Tiger Global, SoftBank Vision Fund and Blume Ventures.
- The acquisition of NestAway is a strategic move for Aurum PropTech. The company plans to use NestAway’s technology and platform to expand its reach and offer a wider range of services to its customers. Aurum PropTech also plans to invest in NestAway’s growth and make it a leading player in the home rental market in India.
The acquisition of NestAway is a sign of the growing consolidation in the Indian proptech industry. The industry is seeing a number of mergers and acquisitions as companies look to scale up and compete with larger players.
The year 2023 may see more M&A activity in the Indian proptech industry. The industry is facing a number of challenges, including the global economic slowdown, layoffs, valuation cuts, shelved IPO plans, and funding winter. These challenges may force some companies to merge or acquire other companies in order to survive.
Acquisitions in the startup ecosystem reflect the dynamic nature of the market, where strategic moves pave the way for innovation and growth. The acquisition of NestAway by Aurum PropTech signifies a powerful union poised to revolutionize the rental housing industry and create new opportunities for both companies.
Pratewek
