Post merger and acquisition (M&A) integration solution provider Intgrea Partners Pvt. Ltd has raised $100,000 (around Rs 66.7 lakh) in a pre-Series A round of funding from a Bangalore-based serial angel investor, a top company executive told VCCircle.
The capital raised will be used to add more product features on the platform in addition to strengthening the team, said Dharmendra Singh, co-founder and CEO, Intgrea. However, he declined to disclose the name of the investor.
Intgrea is a software as a solution (SaaS) application with which companies can run their M&A processes, including deal discovery, due diligence, HR integration, document restoration and information access control. It also helps them manage deals in the pipeline.
The firm was founded by Dharmendra Singh and Sanjay Singh in December 2015. Dharmendra was previously global leader of corporate M&A - post-merger integration at Schneider Electric. Sanjay was director of MSOL (Master of Science in Engineering online) programme at UCLA. He has also worked with WWStay Services, PhiSix Fashion Labs (acquired by eBay), SanDisk and HP.
The platform allows customers to define their processes, which could be deployed on the Intgrea platform to track M&A-related developments. It offers features such as business plan tracking with which managers can present the reason behind the acquisition, synergy and value addition to the board while also tracking them post M&A to measure the effectiveness of the acquisition. The solution essentially helps companies measure the success or failure of a buyout. It also offers a common reporting and communication structure to large companies and eliminates manual tracking processes.
“The time required for integration differs from company to company and domains. While it would take at least four months to complete integration after acquiring a small company (valued around $5 million), it would take two years to integrate a firm following a large M&A deal (worth around of $100 or more). Employees get panicky and skeptical about their future when a company goes through an acquisition. This happens because of the lack of integration planning. If integration is planned, the persons who lead the communication can decide what to be communicated internally to the employees and externally to the media. The platform helps them to prepare and plan everything in advance,” Dharmendra said.
The startup had raised $250,000 in angel investment earlier this year from David Whitehorn, former senior vice president, human resources and talent management at Schneider Electric; Philippe Bouchet, vice president, strategy and new business development at Schneider Electric; and Rajeev Singh, consultant at Palmerston North Hospital.
The company is also in talks with a group of investors to raise $1 million in a Series A round.
The platform is offered for a three-month pilot run to potential customers before signing the contract. The firm currently has three paying customers, including Rungta Advisors and The Randolph Group, and is in talks with at least 10 potential customers.
“Intgrea is an effective platform for investment banks to manage the whole M&A process which usually extends more than a year and can involve many external agencies. Also the access control within the platform makes it very helpful—it protects your information with on-demand security, streamlines cross-boundary digital processes of M&A and creates a global content collaboration network and collaborate with anyone, anytime, anywhere within the platform during M&A lifecycle,” said Pankaj Rungta, CEO of Rungta Advisors.
The SaaS-platform is offered on a subscription-based model. The target customers are companies looking to buy other firms and global consultants who facilitate M&A integrations.
While there are many companies that offer solutions for various aspects of M&A process like virtual data room, there is no other established player that offers an integrated solution such as Intgrea in India. IntraLinks and Devensoft are two major players offering similar services in the US market.
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