Indian e-commerce company for infant products, BabyOye, has been acquired by Mahindra Internet Commerce. As per one of the sources familiar with the matter, there is a possibility of merger of the online portal with Mahindra Retail’s chain of Mom&Me retail outlets.
Also, while there was speculation in the media regarding this in December, it has been closed now. Also the news was also confirmed in a tweet by Mahindra Group’s MD & Chairman, Anand Mahindra.
— anand mahindra (@anandmahindra) February 2, 2015
BabyOye deals in baby care and pregnancy care products, whereas Mom&Me also sells similar products like maternity wear, infant care products, apparel and accessories for toddlers etc. Thereby, there is a synergy in the two businesses.
BabyOye was found in December 2010 by its CEO & Co-Founder Sanjay Nadkarni along with Arunima Singhdeo. In April 2013, it had acquired its rival baby products etailer Hoopos. Mahindra had launched the online portal of its retail chain i.e. Momandmeshop in 2011. And if we go by Alexa Stats, then BabyOye (India Rank 1867) is doing much better in terms of traffic than Momandmeshop (India Rank 10194), hence it makes a lot of sense for Mahindra to acquire the former and merge the two entities.