Indiamart Intermesh sees positive action amid acquisition in Fleetx

Fleetx Technologies Private Limited has received a Rs 91.42 crore investment from IndiaMART, India's largest B2B marketplace.

IndiaMART has agreed to acquire shares through a mix of primary and secondary share acquisitions as part of the deal, and its total stake after the round would be 16.53%.

 In this round, Fleetx has raised a total of Rs 145 crore in funding, led by Indiamart with existing investors IndiaQuotient and BEENEXT also participating.

Fleetx is a freight and fleet management platform which helps both fleet operators as well as businesses to digitize their logistics operations and helps them improve the safety, efficiency and sustainability of their vehicles and operations.

Indiamart Intermesh’s management has fiercely undertaken tuck-in acquisition to transition from a ‘buyer seller’ discovery platform to a ‘transaction-based’ offering for the B2B segment. The company had undertaken ten acquisitions/investments (including Fleetx) since the Pandemic in April 2020 which takes the total to thirteen. Some of the holdings are Simply Vyapar, LEGISTIFY, EASYECOM to name a few. In January 2022, the company has entered into an agreement to acquire Busy Infotech for Rs 500 crore while it invested a further Rs 61.55 crore in Simply Vyapar.

With the latest investment in Fleetx, the company plans to align its long-term objective of offering various Software as a Service (SAAS) based solutions for businesses. The total turnover of Fleetx for the financial year ended March 31, 2021, was Rs 13.3 crore.

Indiamart Intermesh is currently trad­ing at a P/E multiple of 47.87 times on a TTM basis and enjoys a market capitalization of Rs 14518 crores. It is currently trading at a discount of 52% from its all-time high of Rs 9951.95 logged on February 5, 2021.

Much against the market sentiment in today’s session, Indiamart is trading in green at Rs 4780 apiece with a gain of 0.49% at 1.19 pm.