Apalya is backed by IDG Ventures, Kalaari Capital, Cisco and Mumbai Angels
Arre, a digital media brand owned and operated by serial entrepreneurRonnie Screwvala’s UDigital Content, has acquired Hyderabad-based on-demand video streaming company Apalya Technologies in an all-cash deal.
While the size of the deal has not been disclosed, The Economic Times pegs it at around US$3 million-US$3.7 million.
The transaction will be done through a 100 per cent buyout of shares from all the investors of Apalya, including IDG Ventures, Kalaari Capital, Cisco, Mumbai Angels and Co-founders Vamshi Reddy and Shiva Bayyapunedi.
With this deal, UDigital will get access to Apalya’s online video streaming products, including myplex and Mobile TV.
Post-acquisition, both the co-founders will be joining Arre.
“The acquisition makes sense for us, as the younger crowd now wants more digital content, and Arre is a much better platform for that,” Apalya’s Co-founder and CEO Vamshi Reddy told e27.
Established in 2005, Apalya works with 10 mobile operators across four countries for its over-the-top platforms — myplex and Mobile TV. The company claims to have a combined annual subscriber base of 10 million across all its platforms.
UDigital was founded in December 2012 by Screwvala, along with former media executives B Saikumar and Ajay Chacko. UDigital announced the formation of Arre in July this year, which is likely to be launched in February 2016.
In 2013, SAIF Partners-backed on-demand video streaming company iStream was shut down, as the company was unable to raise more funding.
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