Mumbai siblings turned billionaires after selling their advertising technology startup company to investors from China
Mumbai, August 23: Two Mumbai-bred siblings turned billionaires on Monday when they sold their advertising technology startup to Chinese investors for $900 million. The 34-year-old Divyank Turakhia and his older brother Bhavin, 36, who grew up in the suburbs of Juhu and Andheri and turned web entrepreneurs in their teens struck an all-cash deal to divest their company Media.net, merging it with the China-listed Beijing Miteno Communication Technology, timesofindia.com.
This makes it one of the largest M&As in the ad tech industry beating Google’s $750 million acquisition of AdMob and Twitter’s MoPub purchase for $350 million.
What’s noteworthy is that while most ad tech firm are struggling globally, including Media.net’s home grown rival InMobi, which is backed by Softbank Corp, the Turakhia brothers have been able to pull off this transaction amid an overall slowing market. The payout for the brothers from the deal may be staggered, people familiar with the details of the acquisition said.
The younger Divyank who runs Media.net will continue to steer it post the buyout while Bhavin, 36, will manage the Mumbaiheadquartered Directi, which operates four startups in the web communications and payments space. This is not the first exit for the Turakhia brothers, who had in 2014 sold Directi’s domain registration businesses like BigRock, LogicBoxes and Reseller Club, for $160 million to NASDAQ-listed Endurance International Group.
A person who has seen the brothers closely said they are brilliant coders who don’t have an engineering degree. “They’ve learned everything including how to code themselves,” the person said.