Post rumours of online classifieds platform Quikr’s acquisition of Housing, it looks the company is all set to acquire a larger, more reputed rival. CommonFloor, the online real-estate platform which lets you rent/buy used properties around, is reportedly in talks with the investors to raise a new round of funding. As a part of that round though, media reports have confirmed from sources, that investors might be willing to cash in on their investmnt and sell the company for close to $200Mn to Quikr.
The acquisition offer from Quikr is for around $120 million to $200 million in cash-and-stock deal. This acquisition will be primarily aimed at helping the company boost its newly launched QuikrHomes platform.
A report confirms the acquisition for $200 million and states that the company will operate as an independent entity. It also states that the co-founders of CommonFloor also gets board seat in Quikr. And while the company hasn’t denied about the acquisition development, it seems that the deal is not yet closed as the company is still looking to raise funds.
A company’s source told Medianama that the acquisition is taking place and is more like a merger than an acquisition. The company’s statement stated:
We are in the middle of fund-raising, and there are multiple options on the table. We have not yet finalised one. We are working at multiple levels to ensure our growth takes place in a sustained manner. As a company policy we do not comment on speculations, therefore kindly hold on as we will inform all the stakeholders when the time is ripe. We are committed towards our vision of organizing real estate industry in India.
CommonFloor was founded in 2007 as a residential community management website but later changed to home rentals and sale. Including its recent $12 million funding round, the company has raised around $62 million till now.
Earlier, in October, it was reported that Quikr is acquiring CommonFloor but it was denied by the company’s founder. At the same time, it was also reported that Quikr is acquiring Housing.com — a deal which also didn’t materialize.
The company has been in the market for some time to raise $200 million, but has not closed the round yet. Its major competitor – Housing.com is currently struggling in terms of senior management as well as in generating revenues.
CommonFloor claims to have listed more than one lakh residential projects from across 200 cities on its platform and mapped over 10 million homes across the country.