Infibeam Avenues has approved the sale of its ecommerce platform infrastructure business to its subsidiary Rediff.com India Ltd for Rs 800.39 crore in a mix of cash and equity. The transaction aims to help both companies sharpen their strategic focus and unlock greater long-term value.
Under the slump sale arrangement, Rs 400 crore will be paid in cash and the balance through fresh equity issuance. Following the deal, Infibeam’s stake in Rediff will rise from 54 per cent to 82 per cent. Infibeam had acquired a majority stake in Rediff in August last year.
The ecommerce platform business generated Rs 180 crore in revenue and Rs 137 crore in EBITDA in FY25, contributing around 4.8 per cent to Infibeam’s revenue and 18.6 per cent to its net worth.
Infibeam will now focus on scaling its digital payments business through CCAvenue and developing AI infrastructure via Phronetic.ai. Meanwhile, Rediff will strengthen its enterprise software and ecommerce portfolio by integrating the acquired business into its RediffOne suite. The ecommerce platform will also be offered as a standalone product.
Vishal Mehta, chairman and managing director of Infibeam Avenues, said, “This strategic move creates a powerful growth runway for both Infibeam and Rediff. By sharpening focus and enhancing agility, we aim to unlock long-term value.”
Rediff plans to leverage its existing services such as Rediffmail, RediffPay and its content platform to expand the reach of the ecommerce offering among small and medium enterprises. The company is also exploring fundraising options, including a potential initial public offering, to accelerate growth in its enterprise SaaS and digital commerce businesses.
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