Gurugram-based AuthBridge Research Services Pvt. Ltd, which verifies employee background, has acquired Bengaluru-based Footprints Collateral Services Pvt. Ltd operating in the same segment.
The deal, whose value was not disclosed, increases AuthBridge’s client base to over 1,000 entities across the country, the firm said in a statement.
“We continue to scout for more businesses,” said Ajay Trehan, founder and chief executive of AuthBridge.
AuthBridge's offerings include instant identity verification, employment background screening, customer screening and partner due diligence. It screens about 10,000 individuals per day.
AuthBridge, which claims to serve clients in more than 140 countries, posted consolidated total income of Rs 39.1 crore for the year through March 2017, up from Rs 35.1 crore a year earlier, according to VCCEdge, the data intelligence platform of News Corp VCCircle.
Footprints’ total income stood at Rs 19.4 crore for the year through March 2017, up from Rs 18.3 crore a year earlier, going by VCCEdge.
Deals in the space
The background verification space has seen some funding activity this year.
In January, a person told VCCircle that background verification firm IDfy had raised Rs 19.50 crore ($3 million) in a fresh round of funding. It was not clear whether this was the company’s Series B round.
Existing investor US-based early-stage venture capital firm New Enterprise Associates (NEA) participated in the round. NB Ventures, the family investment office of UAE-based investor Neelesh Bhatnagar and Tokyo-based Dream Incubator also put in money, the person said. UAE is United Arab Emirates.
Before this, the Mumbai-based company had raised Rs 18 crore or a little under $3 million in August 2015 from NEA, existing investor Blume Ventures, Faktory Ventures and Japanese e-commerce and investment firm Beenos. In 2012, the company had raised an undisclosed amount in seed funding from Blume Ventures.
The firm had also raised an undisclosed sum from venture debt firm Trifecta Capital in 2016, a report by news website Moneycontrol shows.
In May, VCCircle reported that Betterplace Safety Solutions Pvt. Ltd, which provides services like onboarding and background verification, raised $3 million (Rs 20.4 crore) in a Series A round from a new investor 3one4 Capital.