MyDidi acquires TimeMyTask, merged entity valued at $15 million
On-demand cleaning services provider MyDidi has acquired peer TimeMyTask in an all-stock deal. The Mumbai-based company will absorb all the employees and the technology stack of TimeMyTask through this deal, which values the merged entity at $10-15 million. This is MyDidi's first acquisition since it set up shop in June 2015.
The merged entity will operate under the brand of MyDidi and will enable the company to access TimeMyTask's specialisation in intensive and B2B cleaning along with the on-demand home cleaning services that MyDidi offers.
"TimeMyTask has about 10,000 customers and a fleet of 200 cleaners who will join our team. That would help us multiply our customer base by 1.5 times," Jhonny Jha, CEO of MyDidi, told ET.
The deal gives MyDidi access to B2B operations in Delhi, Bengaluru and Pune apart from its own B2C business in Mumbai.
TimeMyTask cofounders Saurav Suman and Mohit Verma will lead the B2B segment for the new entity. With the merger, MyDidi is looking to introduce a new category beyond the existing on-demand maids and deep cleaning services.
"We plan to introduce commercial cleaning as a service. The merger will help us tackle the whole cleaning problem with three vast categories, namely on-demand maids, deep cleaning and commercial cleaning," said Suman of TimeMyTask.
MyDidi believes the B2B segment will be the growth spinner for the entity. "(Revenues) have been growing at 50% MoM. The idea is to increase the revenues by 3x through the B2B segment on both operational and fixed costs. The acquisition will help us strengthen our own organic revenue stream that would reduce external fund-raising requirement," said Jha.
MyDidi, which has been funded by international angel investors including former and current McKinsey partners among others, is looking to raise its series-A round by March-April. With ticket sizes in the B2B sector ranging between Rs 3,00,000, and Rs 50,000 and average order value of Rs 1,500 in the segment, the company is targeting profitability in the next 4-5 months.