REA Group to acquire a controlling interest in Elara Technologies

NEW DELHI: REA Group has entered into a binding agreement to acquire a controlling interest in Elara Technologies, owner of Housing, PropTiger and Makaan web portals, in a deal that includes cash and newly issued REA shares, the company said in a media release.

The transaction is expected to close in the current quarter. Elara will continue to operate as a stand-alone entity within the REA Group structure. Dhruv Agarwala, co-founder and CEO, along with the current leadership team, will continue to lead the company.

Owen Wilson, CEO, REA Group said, “We plan to make significant investments in Elara going forward. With over 700 million internet users and roughly half a billion yet to come online, our increased investment in Elara will allow REA to be at the forefront of the considerable long-term opportunities within India, and the digitisation of the real estate sector,” he added.

REA Group along with News Corp, already owns a significant minority stake in the company. The company has raised equity capital of USD 105 million to date from News Corp, REA Group, Elevation Capital, Softbank and Accel, among others. The company claims that its revenues has grown at a CAGR of 42% over the last three years.