India-based local discovery app developer Little Internet is set to be acquired by One97 Communications, the parent company of an existing shareholder, digital wallet operator Paytm, VCCircle reported yesterday.
Paytm has already held early-stage talks with Little’s founders, unnamed sources told VCCircle, though the startup has allegedly rejected the initial offer.
Little Internet provides a local discovery mobile app that offers deals for restaurants, cinemas, hotels, gyms, spas and salons. Merchants can use the platform to gain an insight into nearby consumers.
Paytm hopes Little’s platform could help it build out its own mobile commerce operations.
Little most recently secured an undisclosed amount from Singapore’s sovereign wealth fund GIC in January 2016. Paytm had earlier led a $50m funding round in 2015 with participation from SAIF Partners and Tiger Global Management to help launch the mobile app.