Rediff explores options, including IPO, to raise around Rs 875 crore

Internet company Rediff is exploring multiple avenues, including an initial public offering (IPO), to raise up to $100 million (approximately Rs 875 crore) as it looks to expand its enterprise-grade email services, business productivity suite, and digital payments offerings, a PTI report said on Monday.

Rediff, which is majority-owned by financial technology firm Infibeam Avenues Ltd, is evaluating several funding routes such as an IPO, private placement, or private equity participation, PTI report added citing sources familiar with the matter.

The Rediff.com board is currently assessing these fundraising options and is expected to finalise the approach in the coming weeks. However, the PTI report mentioned that the IPO route is emerging as the most likely path for the USD 100 million capital raise.

When reached for comment, Rediff’s Senior Vice-President for Corporate Development, Ashish Mehrota, said, “Yes, our company explores various fundraising options from time to time. At this stage, we do not have anything specific to share, but we are evaluating options.” According to sources, the funds will be primarily used to ramp up Rediff’s enterprise email and productivity suite — RediffOne — and its digital payment solution, RediffPay.