India Digest: Wassup Laundry, Samara Capital acquire firms; Aspire Home eyes funding

Photo: Mint

Wassup Laundry has acquired rival Doormint, while Samara Capital has bought out Sanjay Maintenance. Also, Aspire Home Finance is in talks to raise $77 million.

Wassup Laundry acquires Doormint in equity swap deal

On-demand laundry Wassup Laundry has acquired home laundry service startup Mumbai-based Doormint in an equity swap deal, according to a report in The Economic Times.

Under the terms of the deal, upon completion of the transaction venture capital investors in Doormint, Kalaari Capital and Helion Ventures will hold equity in Wassup Laundry.  The deal will also provide Chennai-based Wassup Laundry access to Doormint’s infrastructure and around 200,000 clients.

“We have a 50:50 mix of B2C and B2B clients. When several players forayed into the market in 2014 and 2015, they were offering prices to consumers that were below the cost price of Rs 18 per piece. We took the hard call of retaining our prices and losing some business, but that’s the time when our B2B business helped us to survive,” said Balachandar R, CEO of Wassup Laundry told the news paper.

The company has made multiple acquisitions in the past including Hyderabad-based Ezeewash in April, 2016 and has been actively scouting for acquisitions of laundry service startups.

Samara Capital buys Sanjay Maintenance for $20m

Private equity firm Samara Capital has acquired facilities management firm Sanjay Maintenance Services Pvt Ltd, according to a report in The Economic Times.

While, the financial details of the deal were not disclosed, sources cited in the report said that Samara had invested about Rs 140 crore ($20 million) for the acquisition and plans to spend an additional $30 million behind bolt-in buyouts for geographical expansion and to widen the service offerings.

“We will look at acquiring smaller companies with soft and hard engineering services offerings in the north as well as south India. We are not into cash management or security services,” Jolly Kochery, CEO of Sanjay Maintenance told the news paper.

Facility management services include soft services like housekeeping to hard engineering services, technical services like engineering, air-conditioning, heating and ventilation and security services.  Founded in 1968, SMS primarily operates in the BFSI, IT/ITES, manufacturing, retail and office space segments and employs nearly 16,000 plus people.

The company is now looking to expand to healthcare and pharma industry as well spread out in south and north India, the report said.

Aspire Home Finance look to raise $77m PE funding

Aspire Home Finance, subsidiary of Motilal Oswal Financial Services,  is looking to raise Rs 500 crore ($77 million) for which it is in talks with private equity players, said a report in The Economic Times quoting sources.

“Aspire Home Finance is looking to raise Rs 500 crore from large private equity investors and talks are in an advanced stage,“ said a source. “This will help Aspire to grow its loan book for next two years.“

The company is seeking a valuation of Rs 4,000 to raise the funds which it plans to use to double its loans,

“We are open for capital infusion but we have not yet taken the matter to board,“ said a senior executive of Aspire Home Finance told the news paper. “We need capital as we are growing our loan book rapidly .“

Also Read:

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