HT Media Ltd has confirmed the acquisition of a minority stake amounting to 40% in online recruitment solutions company MyParichay. Though the exact financial settlement is not disclosed, the stake acquisition is to be executed in multiple tranches of which the first leg was closed last week.
HT Media has opted for subscription of Compulsorily Convertible Preference (CCP) Shares in MyParichay in three separate tranches over the next two years. Additionally the payouts are subject to the achievement of certain milestones by MyParichay & its Founders by Ranjan Sinha and Vivek Sinha.
How did the deal come to fruition?
HT media owns & operates Shine.com, a premier job portal. Claiming 5.2 million ‘Engaged’ candidates in a quarter, the firm is competing with professionally managed rivals like Naukri.com & others. Additionally, it is also up against TimesJobs.com, which is backed by a significant player in the publishing business just like HT Media; Times Network.
MyParichay on the other hand has its hands deep into the Social Recruiting segment of Human Resource (HR) aggregation. According to its website, the company offers plug-and-play social recruitment solutions to companies who already have some form of recruitment engine in place. MyParichay specializes in employee branding solutions like the ability to post and distribute jobs across Facebook, Twitter, and LinkedIn among others, enabling potential candidates to participate in a company’s recruitment initiatives, API based integration and analytics on their employee engagement and recruitment activities. Earlier last week, Shine.com had entered into a strategic partnership with MyParichay to use its expertise & backbone to offer social recruitment based hiring solutions for subscribing employers. Hence this deal could be an extension to ensure the two work even closer.
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