Dealsandyou.com may receive fresh funding; co-founder Guneet Singh to exit

E-commerce site, Dealsandyou.com is estimated to be valued above Rs 40 crore. Singh will divest his stake in the site.

Highly placed sources in the industry have revealed to afaqs! that group buying site, Dealsandyou.com may get a fresh round of funding from multiple global investors.

The amount of investment and investors involved could not be ascertained at the time of filing this news report. However, sources have revealed that Dealsandyou.com is valued above Rs 40 crore.

Dealsandyou.com may receive fresh funding; co-founder Guneet Singh to exit

Currently, the majority (more than 50 per cent, as per an industry estimate) of the stake in the site is held by Europe-based firm, Group Buying Global AG. The remaining stake is divided between Harish Bahl (founder and group chief executive officer, Smile Interactive Technologies Group), Guneet Singh and Tarun Sobhani (directors and co-founders of Dealandyou.com).

Sampad Swain and Abhishek Shah -- who were roped in as co-founders after Wanamo.com, the group buying site started by them, was acquired by Dealsandyou.com -- also own minority stake in the site.

afaqs! has also learnt that Singh, who had joined the venture in June and owns some stake in the site, will divest his stake and will completely exit from Dealsandyou.com. Singh was responsible for the management of internal operations and marketing of the site. He has earlier worked with Microsoft India as lead, integrated marketing and communications, consumer and online.

When afaqs! contacted Singh, he declined to talk on the matter.

DealsandYou.com is group buying site. Everyday, it presents a huge 'discount deal of the day', with up to 80 per cent discounts on lifestyle-related services, such as restaurants and hotel accommodations. The site works on the concept of hyper-local and collective bargaining. It usually presents deals to its members in their nearby areas. Thus, different deals are offered to members based on the locations from where they log on to the site.

The discount deals are usually opened for certain durations (24-60 hours). To avail a discount, members first have to express interest in the deal of the day. However, whether they get the discount deal or not is a function of the number of members who also show their interest in the deal. The deal can be availed by members who show their interest, only when a specified number of members (critical mass) apply or show interest in that deal.

As per audience measurement site, Vizisense.com, more than 3.19 lakh unique users checked Dealsandyou.com in September 2010.

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