Dailyhunt in talks to buy Koo, India's touted competitor to Twitter (now X)

Verse Innovation-owned Dailyhunt is reportedly in advanced talks to acquire the Bengaluru-based Koo, a social media platform that was touted as an Indian competitor to Twitter (now X). 

According to a TechCrunch report, The deal, which involves a share-swap agreement, could be finalized within a few weeks. The report comes as Koo has been on the lookout for new capital to fuel its growth and power its operations.

Koo, which has raised over $60 million from investors, including Tiger Global and Accel, has been exploring strategic partnerships to bolster its distribution strength.

Co-founder Mayank Bidawatka highlighted the startup's shift from rapid growth to focusing on unit economics, proving Koo's viability as a real business amidst a global funding slowdown.

Co-founder Mayank Bidawatka's LinkedIn post

"Folks, in my last LinkedIn post, I had alluded to a strategic partnership that would help us grow organically. Over the past few months, we have been talking to multiple partners who could help us achieve this," Mayank Bidawatka said.

"Requesting your patience till we can share more concrete details of this partnership that will help Koo take wings in an organic manner and help challenge global competitors in a meaningful way. Indian digital products are being made to international standards and it's time to create global brands from India," he said.

"As everyone knows, the startup ecosystem globally has witnessed a funding crunch without which Koo would have been on its way to rapid international market expansion. Once again, we request our friends in the media to be patient so that the right information can be shared at the right time. We are excited about the future and it's not very far! Thankoo!" he added.

Dailyhunt's growth

Dailyhunt, which is valued at $5 billion, is a major player in India's digital ecosystem, reaching over 300 million users. The company, which rebranded from Newshunt in 2015, has seen a significant 57% year-on-year revenue increase, showcasing its successful content aggregation and personalization through machine learning.

What did DailyHunt say about the acquisition?

Both Dailyhunt and Koo have refrained from commenting on the media reports. However, Bidawatka's statements on LinkedIn hint at a strategic partnership aimed at scaling Koo's operations and challenging global competitors.