- Premium Content It takes our newsroom weeks - if not months - to investigate and produce stories for our premium content. You can’t find them anywhere else.
Deepti Sri · · 3 min readCarousell in talks for $150m acquisition of 99 Group
Online classifieds giant Carousell is in talks to buy Singapore-based proptech firm 99 Group for US$150 million in a cash-and-stock deal, two people familiar with the matter told Tech in Asia.
Carousell co-founders Marcus Tan (M), Lucas Ngoo (R), and Quek Siu Rui (L) / Photo credit: Carousell
The acquisition comes amid Carousell’s plans to merge with blank-check firm L Catterton Asia Acquisition Corp and list in the US. The merged entity could reportedly be valued at US$1.5 billion.
The Business Times first reported that Carousell is in talks to acquire 99 Group.
Carousell could go public through the merger with the SPAC as early as this quarter. Meanwhile, the blank-check firm will carry out its due diligence on the classifieds company over the coming weeks.
99 Group declined to comment on the matter. Meanwhile, Carousell told Tech in Asia that it is constantly considering all options and opportunities to build an enduring marketplace.
Carousell and 99 Group have a slew of common investors, including Sequoia Capital India, 500 Durians, Golden Gate Ventures, and 500 Global. 99 Group CEO Darius Cheung has also backed Carousell, along with other big-ticket investors such as Rakuten Ventures and Naver Corp, which owns mobile messenger service Line.
The Carousell-99 fit
The deal will help Carousell access 99.co’s property search platform, which operates in Singapore and Indonesia. 99.co has also acquired data service provider Singapore Real Estate Exchange and Rumah123.
Notably, Carousell also has it own property listings unit in Singapore.
Carousell was last valued at US$1.06 billion, while 99 Group was valued at US$83.6 million in early 2020, according to data from VentureCap Insights.
If the deal goes through, 99 Group’s valuation will be well above that figure.
The 99 Group team / Photo credit: 99 Group
The move is likely a part of Carousell’s recent efforts to tap into high-ticket categories such as auto and luxury goods through a series of acquisitions. Carousell has bought firms like Ox Street, Caarly, OneShift, OLX Philippines, and 701Search.
Stay ahead in Asia’s tech landscape
This is premium content. Subscribe to read the full story.
If the deal goes through, 99 Group’s valuation will be well above the US$83.6 million mark that it hit in 2020.
We know this is not ideal. ⌛ Sign up in 20 seconds. Cancel anytime.
Our subscriber community includes professionals from these companies:
Stay updated on the go with our mobile app.
Get latest insights with smoother, more personalized experience through TIA mobile app.
