Telenor Group announced a merger between its online classifieds business, 701Search, and Carousell, one of Asia’s largest and fastest-growing classifieds marketplaces, in an equity and cash agreement.
The merger creates a regional leader in online classifieds. Telenor Group receives a 32 percent stake in the company, making it the largest minority shareholder. 701Search will cease to be a subsidiary company of Telenor Group and will merge its operations with Carousell with immediate effect. 701Search owns leading general classifieds sites Mudah in Malaysia, Chotot in Vietnam and OneKyat in Myanmar.
Carousell is one of the most prominent start-ups in Southeast Asia, with dominant positions in Singapore and Hong Kong. The majority of its employees are based in Singapore. Following the merger, 701Search’s Singapore-based regional team will be fully integrated into Carousell. Mudah, Chotot and OneKyat will retain their individual brands and platforms, continuing operations in Malaysia, Vietnam and Myanmar respectively. The businesses will report into Carousell’s Group CEO Quek Siu Rui.
Johan Rostoft, Head of Online Classified, Telenor Group
We have built a profitable and high-growth marketplace business serving millions of users every single day. This transaction presents an attractive opportunity for us to take the next step in our marketplace journey, and it also simplifies Telenor’s portfolio.
Quek Siu Rui, Co-founder and CEO, Carousell
With Telenor Group’s extensive experience in each local market, coupled with Carousell’s relentless focus to use technology to make selling and buying easy and frictionless.
