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360 One Acquires Times Internet’s Wealth Management Platform ET Money

ET Money
Preeti Bali / 8:34 am / June 14, 2024

360 One, a riches and elective venture the executives firm recently known as IIFL Riches, has finished the procurement of ET Cash, an abundance the board stage possessed by Times Web. The all out obtaining esteem is assessed at roughly Rs 365.8 crore ($44 million).

Acquisition Structure and Regulatory Approvals

The acquisition agreement outlines a two-pronged payment structure. 360 One will provide Rs 85.83 crore in cash consideration, with the remaining balance settled through the issuance of 35,90,000 fully paid-up equity shares in 360 One. The transaction is subject to approval from various regulatory bodies, including the Securities and Exchange Board of India (SEBI), stock exchanges, and the Reserve Bank of India (RBI).

Acquiring Two Entities: Expanding Service Offerings

Through this procurement, 360 One will oversee two particular elements: Moneygoals Arrangements Restricted (working as ET Cash) and Banayantree Administrations Restricted (working as ET Cash Virtuoso). While ET Cash centers around business warning administrations, item the board, and general business support, ET Cash Virtuoso has some expertise in the conveyance of monetary items like fixed stores (FDs), Public Benefits Framework (NPS) speculations, protection items, distributed (P2P) loaning, and monetary warning administrations.

Financial Performance and User Base

For the fiscal year ending March 2024, ET Money reported a turnover of Rs 2 crore, while ET Money Genius reported a turnover of Rs 28.7 crore. Despite the difference in revenue figures, ET Money boasts a user base exceeding 9 lakh transacting clients, with over 1 lakh users actively generating revenue for the platform. The platform further claims to process a gross monthly sales volume exceeding Rs 1,200 crore, with Systematic Investment Plans (SIPs) contributing Rs 450 crore and mutual fund net inflows reaching nearly Rs 750 crore. Furthermore, ET Money Genius, the platform’s investment advisory service, caters to over 76,000 active paying clients, managing an aggregate Asset Under Management (AUM) of Rs 1,200 crore.

Competitive Landscape and Times Internet’s Strategic Shift

ET Money operates in a competitive market space populated by established players like Groww, Zerodha, and Paytm Money. This acquisition allows 360 One to expand its wealth management service offerings and potentially attract a wider customer base.

For Times Internet, the sale of ET Money marks the seventh subsidiary divestment within the past three years. Recent exits include the sale of MX Player assets to Amazon, the sale of MX Takatak to ShareChat in February 2022, the acquisition of DineOut by Swiggy in May 2022, and the acquisition of MensXP, iDiva, and Hypp by e-commerce roll-up unicorn Mensa in December 2022. This trend suggests a potential strategic shift within Times Internet, with the company focusing on core business areas.

 

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