Online babycare store FirstCry (BrainBees Solutions Pvt. Ltd) has acquired the Mahindra’s online babycare business BabyOye for Rs.362.1 crore in a cash and stock deal.
The deal will comprise an equity component worth Rs.354.6 crore and Rs.7.5 crore in cash.
FirstCry, which was founded by Supam Maheshwari in 2010, follows an omni-channel strategy and operates about 180 brick and mortar stores, while the Mahindra Group operates about 120 stores under the BabyOye brand.
Post the merger, the combined entity will be called FirstCry.com-A FirstCry Mahindra Venture, and will have its footprint across 300 physical stores in 125 cities.
Besides, FirstCry has also raised $34 million in a fresh fundraise from the Mahindra Group, Zurich-headquartered private equity fund Adveq, Infosys co-founder Kris Gopalakrishnan and existing investors IDG Ventures India, New Enterprise Associates, SAIF Partners, Temasek Holdings, Valiant Capital Partners and Vertex Ventures.
FirstCry has so far raised $125 million from investors, according to venture capital database Crunchbase, making it by far the most well capitalised business in the online babycare segment.
The Mahindra Group had acquired BabyOye from Tiger Global Management, Accel partners and Helion Venture Partners in February 2015.
Later last year, the company renamed its flagship babycare stores called Mom and Me as BabyOye by Mahindra.
