Monday, 8 May 2017

NestAway Technologies acquires Zenify

Home rental startup NestAway Technologies Pvt. Ltd has acquired smaller rival Zenify (City Synapse Information Pvt. Ltd) for an undisclosed amount, a move that will help NestAway expand its offerings for families. Zenify will continue to operate as a separate entity after the acquisition.
NestAway manages a homeowner’s rental property throughout the rental life cycle, from showing the house to a prospective tenant and closing the rental agreement to collecting rent on the owner’s behalf and assisting the tenant and owner during move-out. The company charges a certain percentage of the monthly rent it generates from the house as commission.

The company, founded in 2015, started out as an aggregator of shared, furnished apartments for bachelors, before adding full homes for families. It claims to manage more than 10,000 homes in Bangalore, Delhi, Gurgaon, Noida, Ghaziabad, Hyderabad, Pune and Mumbai. The company’s investors include Tiger Global Management and IDG Ventures.

According to data platform Crunchbase, NestAway has so far raised $43 million from Tiger Global, IDG Ventures India, Flipkart Ltd. The company has also raised about $5-6 million in venture debt from InnoVen Capital. Its last equity finance, a $30-million Series C round, came in April last year. According to data from research firm Tofler, NestAway clocked revenue of Rs5.8 crore for the year ended 31 March 2016 while losses stood at Rs37 crore. Following the acquisition of Zenify, NestAway will have more than 4,000 homes on offer for families. The segment has also witnessed consolidation in the recent past. For instance, Quikr acquired Grabhouse in an all-stock deal for about $10 million in November last year.

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