Media and publishing group HT Media Ltd is acquiring up to 40 per cent stake in a staggered transaction in MyParichay Services Pvt Ltd, which runs online recruitment solutions website MyParichay, as per a transaction disclosure by its legal advisor. HT Media will acquire the stake in multiple tranches of which the first leg was closed last week.
The deal involves the media house acquiring a minority stake through acquisition of shares from MyParichay’s existing promoters. The firm will raise its holding through subscription of compulsorily convertible preference shares in MyParichay in three separate tranches over the next two years. The remaining three closings are expected to take place in April 2013, June 2013 and August 2014, as per information shared by J. Sagar Associates (JSA).
JSA was the advisor to HT Media on the acquisition. MyParichay and its promoters were represented by PXV Law.
Last week, the two firms had announced a partnership involving HT Media owned recruitment site Shine.com and social recruitment platform MyParichay.
MyParichay is a social recruitment platform on Facebook. It claims to have over seven million profiles in database and adds a million searchable profiles every month.
Shine.com, which is housed under a HT Media subsidiary Firefly e-ventures Ltd (but in the process of moving to the parent company), recorded 5.2 million ‘engaged’ candidates in Q2, up from five million as of June 30, 2012, and two million in Q2 last year (with revenue growth of 61 per cent over the year-ago period). It competes with the likes of Naukri.com and rival media house Times Group’s Timesjobs.com.
HT Media’s digital business includes the job portal Shine.com and HTCampus.com.
(Edited by Prem Udayabhanu)