According to a report by TechCrunch, Dailyhunt, owned by Verse Innovation, is currently engaged in advanced discussions to acquire Koo, a Bengaluru-based social media platform often heralded as India’s answer to Twitter (now X). Sources suggest that the negotiations entail a share-swap arrangement and are nearing finalization, with expectations of completion within the coming weeks. This development arises as Koo actively seeks fresh capital infusion to sustain its expansion endeavors and fortify its operational capabilities.
Having secured over $60 million in funding from prominent investors such as Tiger Global and Accel, Koo has been exploring strategic collaborations to enhance its reach and influence. Co-founder Mayank Bidawatka has underscored the company’s strategic shift from pursuing rapid growth to prioritizing unit economics, underscoring Koo’s journey towards establishing itself as a financially sustainable entity amid a global downturn in funding.
In a recent LinkedIn post, Bidawatka hinted at an impending strategic partnership pivotal for Koo’s organic growth trajectory, expressing gratitude for the patience of stakeholders awaiting further details. He emphasized the imperative of nurturing Indian digital products to global standards, advocating for the creation of indigenous brands with global resonance. Acknowledging the prevailing funding constraints in the global startup landscape, Bidawatka emphasized the significance of patience in disseminating accurate information, expressing optimism for Koo’s imminent milestones and the transformative journey ahead.
Dailyhunt, boasting a valuation of $5 billion, commands a significant presence in India’s digital landscape, boasting an extensive user base exceeding 300 million. The company, rebranded from Newshunt in 2015, has demonstrated robust financial performance with a notable 57% year-on-year revenue surge, propelled by its adept content aggregation and personalized offerings driven by machine learning algorithms. While both Dailyhunt and Koo have refrained from providing official comments on the ongoing speculations, Bidawatka’s remarks on LinkedIn allude to a strategic collaboration geared towards amplifying Koo’s operational scale and fostering competitiveness against global adversaries.
