Two-wheeler major TVS Motor is in a start-up acquistion mode. After acquiring a minority stake in Bengaluru-based electric two-wheeler and energy infrastructure start-up Ultraviolette Automotive Pvt Ltd in December, the company has said it is increasing its stake in Condivision Solutions Private Limited, which operates RentOnGo, an online marketplace for renting bikes.
The Chennai-based two-wheeler firm said it has acquired additional 5.6 per cent stake in Condivision by investing Rs 50 million. Consequent to the additional investment, company's holding has increased to 29.6 per cent.
Condivision Solutions Private Limited provides an online platform for connecting renters with owners in Bengaluru, Delhi/NCR, Hyderabad, Mumbai, and Pune, India.
The company offers rental information for various products, including furniture, electronics and appliances, adventure gear, fancy dress, wedding chairs and tables, medical supplies, bikes and scooters, and other categories. Consumers can search for products or browse through products of their interest and also find out the vendor that rents products in their locality through the website.
The company was founded in 2012 and is based in Bengaluru.
In August, TVS Motor has acquired a 24 per cent stake in RentOnGo by investing Rs 15 million in Condivision Solutions. The company said investment was made from the futuristic perspective on the emerging pay-by service model.
In December, TVS Motor said the company will acquire 14.78 per cent stake, or 6750 equity shares of Rs 10 each for Rs 7,409 per share in Ultraviolette Automotive. The total cost of acquisition would be around Rs 50 million.
Condivision Solutions was founded in 2012 by Nikhil Chhabra and Vikash Jalan. Condivision's turnover in the financial year (FY) 2016-17 was Rs 3.1 million as compared to Rs 1.5 million in FY16 and Rs 3 lakh in FY15.
In December 2015, RentOnGo raised an undisclosed amount through angel funding from Snapdeal's former chief product officer Anand Chandrasekaran, GSF India founder Rajesh Sawhney, Kalpana Tatavarti (partner, Interweave Consulting), Shivanandan Pare (head of e-commerce, Madurai Lifestyle & Fashion) and other angel investors, according to VCCircle.