Prosus NV cancels the acquisition of BillDesk; Deal was worth Rs 38.44 thousand crore
Prosus NV cancels the acquisition of BillDesk: PayU will no longer buy BillDesk, the deal was worth Rs 38.44 thousand crore
Prosus NV has cancelled a $4.7 billion deal to buy Indian payments firm BillDesk. Because the terms of the deal were not fulfilled. The deal was also approved by the Competition Commission of India (CCI) last month. However, the company said that some conditions were not met by the deadline at the end of last month.
On 31 August 2021, Naspers announced that a deal was struck between PayU Payments Private Limited (PayU), a subsidiary of Prosus NV and shareholders of Indian digital payments provider BillDesk, to acquire BillDesk for $4.7 billion (Rs 38.44 thousand crores). Was. Established in 2000, BillDesk is a leading payments business in the country.
Prosus said on Monday that the closing of the transaction was subject to the fulfillment of a number of conditions, including the approval of the CCI. PayU got the approval of CCI on 5 September 2022. However, some conditions were not fulfilled till the stop date of 30 September 2022. After this, the deal is automatically cancelled according to its terms. Hence the proposed transaction will no longer be implemented.
Had the proposed acquisition been completed, PayU, the fintech business of Prosus, would have become one of the leading payment providers globally through total payment volume (TPV). The deal was being done to create digital payments giant with a total volume of $147 billion (Rs 12.02 lakh crore) and aim to grow the industry in India.
If that were the case, it would have been the biggest acquisition the company has ever made. Naspers, through its subsidiary Prosus, has claimed to have invested about $ 6 billion i.e. 49.07 thousand crore rupees in Indian technology companies since 2005.