Dailyhunt in Advanced Talks to Acquire Social Network Startup Koo App

Media platform Dailyhunt is reportedly in advanced discussions to acquire homegrown social media platform Koo, with a deal that includes a share-swap agreement and may be finalized within weeks. The potential acquisition, first reported by TechCrunch, could mark a significant development in India’s digital media landscape.

Koo, founded in March 2020 by serial entrepreneurs Radhakrishna and Mayank Bidwatka, gained prominence amid a standoff between the Indian government and Twitter over social media intermediary guidelines. It is often regarded as India’s alternative to Twitter.

Mayank Bidawatka, cofounder of Koo, hinted at a strategic partnership to drive organic growth. He emphasized the importance of Indian digital products adhering to international standards and the opportunity to create global brands from India. Bidawatka also mentioned the challenges in securing global funding, noting that such funding would have accelerated Koo’s international market expansion.

In a LinkedIn post, Bidawatka highlighted the platform’s strategy of supporting multiple local languages to connect widely with the masses, especially in India and Brazil, where Koo is accessible.

The potential acquisition comes as VerSe Innovation, the parent company of Dailyhunt and short video platform Josh, secured debt capital of INR 50 Cr ($6.25 Mn) from Alteria Capital. Despite reporting substantial losses, VerSe witnessed a notable increase in operating revenues in FY23.

Established in 2007 by Virendra Gupta and later joined by Umang Bedi, VerSe Innovation has raised over $1.7 Bn in funding from investors like Google, Microsoft, and Sofina.

The acquisition of Koo by Dailyhunt could signal a new chapter for both platforms, potentially reshaping the social media landscape in India.