Info Edge ventures into healthcare tech acquires Brainsight Technology

Info Edge is India’s premier online classified company with a portfolio of brands. It owns various brands in different fields like naukri.com (online recruitment), 99acres.com, jeevansathi.com as well as shiksha.com. It also acts as an investor and has invested in many start-ups in the online space and is actively growing its investment portfolio. 

Naukri.com dominates as the company’s primary business, holding an 80% share in online recruitment. Their real estate platform, 99acres.com, features numerous projects and listings. Jeevansathi.com serves as a popular matrimonial website, while Shiksha.com focuses on online education classifieds. With a diverse portfolio, the company maintains a strong presence in these sectors. 

Redstart Labs (India) Ltd, a wholly owned subsidiary of Info Edge (India) Ltd, has agreed to invest Rs 98,94,000 in Brainsight Technology Private Ltd. Brainsight is a healthcare technology company that utilizes AI-enabled applications for evidence-based treatment in the neurosurgery, psychiatry, and neurology fields. The transaction is not considered a related party transaction. 

The acquisition aims to support the company’s investment strategy for value creation in the medium to long term. Brainsight’s turnover for the fiscal year 2022-23 was Rs 27,59,016.20. The acquisition is in the form of cash consideration, and the exact percentage of shareholding/control acquired is not determined at this time as the investment will be converted into shares in the future based on the valuation. The completion of the acquisition is expected to be immediate. 

The company has delivered returns of 10.7% over the past year and returns of 51.7% over the past 3 years. Additionally, the company has been able to grow its sales by 21% (CAGR) for the past 3 years and profit by 39% (CAGR) for the same period. 

On Monday, shares of the Info Edge plunged by 1.35% to trade at Rs 4,343.75. 

Investors should keep a close eye on this trending stock.

Disclaimer: This blog is exclusively for educational purposes. The securities quoted are exemplary and are not recommendatory.