Dailyhunt in Talks to Acquire Social Network Koo

Media startup Dailyhunt is reportedly in advanced negotiations to acquire Koo, a Bengaluru-based social network. The potential deal involves a share-swap agreement and could be finalized within weeks, according to sources familiar with the matter.

Koo, which aims to rival Twitter, has been actively seeking new funding over the past year. The social network, available in India and Brazil, emphasizes supporting multiple local languages to appeal to a broader audience.

Koo’s co-founder, Mayank Bidawatka, has expressed the company’s desire to find a strategic partner with a strong distribution network for its next phase of growth.

Dailyhunt, valued at $5 billion, and Koo have declined to comment on the rumors.

VerSe Innovation, Dailyhunt’s parent company, boasts over 300 million users in India through its news aggregator platform and short-video app, Josh. The company recently raised $805 million in funding from investors including the Canada Pension Plan Investment Board and Baillie Gifford.

Implications of the Acquisition

If the acquisition goes through, it could significantly impact the Indian social media landscape. Dailyhunt’s vast user base and distribution channels would provide Koo with a major boost in its quest to become a formidable competitor to Twitter.

Additionally, the deal would align with Dailyhunt’s strategy of expanding its offerings beyond news aggregation and into social networking.

Conclusion

The potential acquisition of Koo by Dailyhunt is a significant development in the Indian tech industry. It highlights the growing importance of local language content and the increasing competition in the social media space. As the deal progresses, it will be interesting to see how it shapes the future of both companies and the Indian digital ecosystem.