ValueFirst Messaging, an enterprise mobility and communication services company, today acquired Cellnext Solutions, a subsidiary of Escorts — an engineering conglomerate operating in agri-machinery, construction and material handling equipment sectors, along with railway equipment and auto components. Equirus Capital was the sole advisor for the transaction, the value of which was not disclosed.
Post-acquisition, ValueFirst intends to run Cellnext as a separate company providing value-added services (VAS). ValueFirst would retain and grow the Cellnext brand, leveraging its own sales structure and processes to build upon Cellnext’s domain knowledge and verticalised product offerings.
“Over the last six years, ValueFirst has been focusing on the enterprise segment. While Cellnext was a competitor as it had a presence in the enterprise market, it also has a good penetration among the telecom operator VAS segment. And since we were also keen to diversify, this acquisition made sense,” ValueFirst CEO Vish Bajaj said.
Along with access to the consumer market, Cellnext also has an M-Commerce platform which will increase the growth opportunity for ValueFirst.
“Cellnext was a part of the overall game plan of our erstwhile telecom business Escotel. Around five years ago, we decided to focus on our engineering businesses and divested our non-core businesses. However, we had continued to invest in Cellnext which today is a repository of frontline mobile messaging solutions,” Escorts Vice-President (Law & Company Secretary) G B Mathur said.
“The mobile VAS and messaging sector has grown exponentially in the last decade. We believe the sector has matured and it is the right time to consolidate,” Equirus Capital Associate Director Arun Gupta said.
ValueFirst had earlier this year raised $6 million from New Enterprise Associates.
cellnext is a sinking company,there are few gunda elements of valuefirst who hound and mentally torture employees of cellnext, i joined and resigned within a week from there, i cant work under taliban clad HR policies,shame on u Mr. S.A. , i think he will understand whom i am referring to
Cellnext was a sinking company. Still continued on hiring people. After joining Cellnext, Joinees used to get shocked to know that Escorts was trying to sell Cellnext. ValueFirst acquired Cellnext, started ill treating the employees even with the best performers. There are few gunda elements of ValueFirst used to scare the employees. They cant gain anything from cellnext as all the good employees already left. Its horrible to work under ValueFirst and Cellnext. Anyone who wants good career, should stay away of these companies, even they stay unemployed.
it is good for cellnext future , now cellnext will grow with positive attitude and employee will feel good working environment as Value first already have. Congrates to Value First.....
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