The majority of Perpule’s employees, including co-founders Abhinav Pathak, Saketh BSV, and Yogesh Ghaturle, are expected to work for Amazon.
According to regulatory filings, Amazon Technologies Inc., a subsidiary of Amazon.com Inc., has acquired retail tech startup Perpule for 107.6 crore in an all-cash deal to bolster its presence in the kirana-tech space.
According to two people familiar with the discussions, Amazon is likely to pay extra remuneration to Bengaluru-based Perpule’s staff, potentially increasing the total deal value to about Rs 150 crore.
With this, the firm plans to up its game in the kirana-tech space as it would now leverage Perpule’s cloud-based point-of-sale (PoS) offering ‘UltraPoS’ and offer a new suite of technology products to kirana partners, while digitizing neighbourhood stores.
The acquisition is expected to provide Perpule’s investors an exit with 4x-5x returns. The four-year old startup has raised close to $4.7 million till date from Prime Venture Partners, Kalaari Capital, Venture Highway and Taxiforsure co-founder Raghunandan G.
Most of its staff including co-founders Abhinav Pathak, Saketh BSV and Yogesh Ghaturle are expected to join Amazon, said one of the people mentioned above.
Perpule’s main product, UltraPoS, is a full-fledged store management solution that helps small businesses handle and automate inventory, buy orders from vendors, and billings digitally.
Perpule’s cloud POS will help offline stores of all sizes handle their operations better, according to an Amazon India spokesperson who confirmed the acquisition. “Perpule has created a cutting-edge cloud-based point-of-sale technology that helps offline stores in India better manage their inventory, checkout processes, and overall customer experience. “We are delighted to have the Perpule team join us to concentrate on creating growth opportunities for companies of all sizes in India while raising the bar for Indian customers’ shopping experience,” said the spokesperson.
Abhinav Pathak, a co-founder of Perpule, declined to comment.
Amazon introduced ‘Smart Stores’ last year to assist offline retailers in digitising their inventory while also enabling them to open digital storefronts on its app.
In March, it extended its ‘Local Shops’ scheme to 50,000 physical stores, with plans to increase the amount by the end of the year. The purchase of Perpule may also assist Amazon in digitising in-store inventory from offline retailers and listing it on the Amazon app.
Perpule’s UltraPoS, which had close to 10,000 store and retail partners across India, Southeast Asia, and the United Arab Emirates as of last year, also offers key analytics to help retailers understand consumer demographics and buying trends at outlets. Foreign clients make up nearly 60% of the product’s consumer base, including Matahari Retail in Indonesia and Landmark Group in Malaysia.