US Firm Buys Mes­sag­ing App maker Cooltok for .` 60 crore

In ad­di­tion to patented tech, Kirusa is also buy­ing out Cooltok’s team

The Economic Times - - Companies - OUR BUREAU

New Jersey-based Kirusa, which de­vel­ops tech­nol­ogy to sup­port voice mes­sag­ing in emerg­ing mar­kets has ac­quired Ban­ga­lore-based mes­sag­ing app maker Cooltok in a deal val­ued at close to $10 mil­lion (.`60 crore).

Cooltok’s mes­sag­ing ap­pli- cation adds a group con­fer­enc­ing fea­ture to the ser­vice of­fered by pop­u­lar cloud tele­phony app Viber. When two users of Cooltok are within a data range, the call switches from GSM to the in­ter­net, one of the stand­out fea­tures of the prod­uct built by the two-year-old com­pany. “The IP-based tech­nolo­gies that we de­vel­oped for mo­bile apps, when com­bined with the prod­uct port­fo­lio of Kirusa, will en­able us to ad­dress a huge op­por­tu­nity go­ing for­ward,” said Sreeni­vas Karanam, founder and CEO, Cooltok. In ad­di­tion to Cooltok’s patented tech­nol­ogy, Kirusa is also buy­ing out Cooltok’s team. The boot­strapped com­pany, com­pris­ing six mem­bers, de­vel­oped the ap­pli­ca­tion in a pe­riod of nine months. Thomas Mathew, 34, co­founder of the com­pany said that ven­ture firm Ac­cel Part­ners had flagged them as a po­ten­tial ac­qui­si­tion tar­get for Kirusa when Cooltok was look­ing for fund­ing in Jan­uary.

Kirusa’s to emerg­ing coun­tries, where of­ten users do not have full-time ac­cess to the in­ter­net. Kirusa,

Once the ac­qui­si­tion is com­plete, Cooltok’s team of six mem­bers will join Kirusa’s of­fice in Ban­ga­lore

through its part­ner­ship with over 35 car­ri­ers around the world, al­lows users to lis­ten to all voice mes­sages for free, even if the sender be­longs to an­other car­rier. The so­lu­tion is cur­rently used by 80 mil­lion mo­bile users in four con­ti­nents. Once the ac­quis­tion is com­plete, Cooltok’s team of six mem­bers, in­clud­ing CEO, and co-founders Prakash Kaja and Mathew, will join Kirusa’s of­fice in Ban­ga­lore. The con­ver­sa­tions re­gard­ing ac­qui­si­tion started in Jan­uary, and the deal closed on Mon­day, said Matthew. Kirusa, in a press re­lease on Mon­day, said it will con­tinue with its ac­quis­i­tive streak.

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