Tiger Global is continuing to unwind its eight year old investment in Just Dial. The VC firm has now sold a further 5.4 per cent of the stake in Just Dial for $64 million through open market share.
This stake stake sale has generated about 18x return to its investment. A bulk share of the company has been purchased by two funds under Fidelity.
Earlier this month, it off-loaded 2.1 percent of its stake for $7.7 million, generating about 20x return. In March 2015, it sold 3.5 percent share of Just Dial for about $48 million.
Earlier, Tiger global held 9.18 percent stake of the company. After selling 5.4 percent, it now has 3.78 percent stake in the company, which is worth about $48 million.
Just Dial has recently added a product e-commerce marketplace to order to expand its business and revenue stream. It now competing with top e-commerce companies of India, Flipkart and Snapdeal.
The shares of the company has been declining since August 2014. It saw around 30 percent decline on BSE and 40 percent of its value. It was founded in 1996 and went public in 2013.
Just Dial recently said that it is planning to raise up to $165 million through equity and related instruments. On tuesday, its shares closed the day at Rs 1138.5 each, up 5.74 per cent on the BSE in a flat Mumbai market.
Other two investors in the company – SAIF Partners and Sequoia Capital had part-exited last year but they sold shares when the share price was much higher. SAIF Partners part-exited around $41 million and generated around 30x in gross returns.