Accel-backed device-care provider Onsitego has agreed to acquire Qdigi Services from Fairfax-controlled business service provider Quess Corp Ltd through a mix of cash and equity swap.
Onsitego will pay Rs 80 crore in cash to Quess Corp. Quess Corp will also get a 2.4% stake in Onsitego. The transaction is expected to be completed over the next 2-3 months.
Qdigi provides installation, repair, and maintenance services to smartphone manufacturers such as Samsung, Apple, One Plus, Xiaomi etc., and online retailers such as Amazon. The company has around 1,400 employees and operates nearly 100 company-owned and more than 200 franchisee service centers.
Onsitego provides extended warranty, damage protection, and AMC plans for digital devices and home appliances. It has partnerships with many of India’s large retailers such as Vijay Sales, Croma, Bajaj Electronics, Girias, Big C, Lot, Great Eastern, Phonewale, and Amazon.
“The acquisition of Qdigi will further add to our service capabilities and market offerings,” said Kunal Mahipal, founder and chief executive officer, Onsitego. “While we will expand Qdigi’s existing relationships, we are also looking to target new OEM partners and retailers to accelerate growth.”
The entire team and business of Qdigi will be transferred to Onsitego.
“We believe that going forward the Qdigi business is hugely complimentary to the offerings of Onsitego, while Onsitego will provide the platform for the next level of growth in Qdigi business,” said Guruprasad Srinivasan, ED and CEO, Quess Corp Ltd.
Onsitego had acquired a 26% stake in electronics exchange platform Digi2L for an undisclosed sum in July 2022. The company had last raised Rs 220 crore in its Series B funding round in 2020. Its investors include Zodius Growth and IFC.
