NestAway Technologies Sold to Aurum PropTech Limited for Rs 90 Crore

NestAway Technologies, the Ratan Tata-backed PropTech startup has been sold to Aurum PropTech Limited, a listed entity for Rs 90 crore. As per the information available from an exchange filing, Aurum has revealed that it acquired the start-up for about Rs 90 crore which is a steep cut from its 2019 valuation that is Rs 1,800 crore.

The filing report further stated that Aurum will be adding Rs 30 crore to stabilize NestAway Technologies.

Last year, Aurum PropTech was bought by HelloWorld, which is a co-living space operator from NestAway.

The filing statement read that "After successfully scaling up HelloWorld's operations within a year, Aurum PropTech has strategically acquired NestAway. The founders of HelloWorld, Jitendra Jagadev and Ismail Khan, who were originally part of the founding team at NestAway, will now lead NestAway post-acquisition."

In simple words, the founders of NestAway - Deepak Dhar, Smruti Parida and Amarendra Sahu will be now leaving their acquired entity. NestAway had witnessed a slump during the Covid-19 levels and migration usually meant that the customers left their rented houses to move back to their hometowns as remote work became permanent.

Before the onset of the pandemic crisis, the NestAway featured around 50,000 properties on its platform and had managed to achieve an annualized revenue of Rs 100 crore. But the number of properties has now diminished to 18,000 and the annual revenue now stands at Rs 30 crore.

Founded in 2015, NestAway Technologies was started after raising Rs 900 crore from Marquee investors, UC-RNT Fund and Tiger Global, a joint venture between Tata Sons Chairman Ratan Tata's RNT Associates and the University of California.

Following the acquisition news, the shares of Aurum PropTech have rallied.