It was quite impressive to learn that Divyank and Bhavin Turakhia had sold Directi to Endurance International in a low 9 figure deal. After the deal, the brothers retained their Media.net property, and that business has continued to grow and thrive (who said you need to have a .com to create a massive company?!).
This morning, another Turakhia deal was covered in Forbes, and it dwarfs the Directi deal from 2013. Here’s the jist of the deal written about in Forbes:
“AdTech pioneer Media.net, has been acquried by a Chinese consortium from serial internet entrepreneur Divyank Turakhia’s Starbuster TMT Investments in an all-cash transaction of $900 million.”
If you add those two deals together, that is $1 BILLION in deals. Wow!
I wonder what’s next for Div. It looks like he has the golden touch.
Congrats to the seller. 🙂
However, IMHO paying 900 mln USD for a company with revenue of 232 mln USD (2015) and an unknown, but allegedly not exciting profitability, is a ripoff.
3.9x 2015 sales and a declining (unknown) profitability make no sense to me …
It’s interesting to note that back in 2014, Ashmore Investment Management Limited held a stake in Media.net.
An Ashmore mid-year report from the same year cited Media.net as a struggling investment and ultimately included the following statement: “The Company’s stake in Media.net was marked down by 39% due to deteriorating operating performance and limited diversification of revenues which depressed the multiple at which its earnings are valued.”: http://www.prnewswire.co.uk/news-releases/regulatory-news/half-yearly-report-272985811.html
Unlike what he says, IMO he sold because results and expectations are worsening … good for him he was able to negotiate such a high price. 🙂
Turakhia Brothers also owns Shop.in…Casino.in etc ULTRA Premium .in domains by the grace of God though their company called India Portals 😀
Not too shabby.
No doubt, India Portals has an enviable .IN portfolio. I’ve seen none better.
God means those who runs Nixi, indian domain registry :p