On Thursday, Quikr, the Indian classifieds portal has announced its acquisition of CommonFloor.com, the real estate portal after eight months-long speculations of the deal. The financial terms of the deal has not been disclosed by both the parties. However, it is speculated to be over $120 million.
Founded in 2007 by Sumit, Vikas Malpani and Lalit Mangal, CommonFloor is one of the pioneer real estate portal in India with more than five lakh active property listing from 200 cities and more than one lakh residential projects listed so far.
The acquisition which is expected to reach closure by the next three months, will not merge both the entity but will function as separate brands for the consumers. This will simplifiy Quikr’s access to the property and technology listings developed by CommonFloor over the last eight years. The property listings when combined from two companies it comes to around 2 million of which 3/4th belongs to Quikr. Further to the acquisition, CommonFloor will get one board berth in Quikr, said Pranay Chulet, Quickr’s founder and CEO.
It has been said that no employee would be laid off but the company is looking to hire more. The employees of the respective companies would be working in their respective offices only with a few overlap of employees in the near future. Now, CommonFloor has team of 1000 employees and QuikrHome has 350 employees. The deal is expected to strategically help Quikr with its QuikrHomes that was launched four months ago.
Sumit said, “The merger will give us a very strong platform to grow the business further and our synergies will benefit consumers, property developers, as well as our real estate partners who are all key to the progression of the online real estate ecosystem.”