Info Edge Writes Off INR 276 Cr Investment in 4B Networks

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InfoEdge has written off its entire investment in 4B Networks, a proptech incipiency led by Rahul Yadav, who formerly co-founded real estate hunt gate Housing.com. The reasons for the write- off are grueling backing terrain. The Noida- grounded internet group has written down Rs 276 crore in the company as it anticipates that raising fresh revenue for 4B Networks will be tough and its cash burn is unsustainable. 4B Networks was Rahul Yadav’s alternate stab at starting a company.

It had been innovated in 2020, and as per its Linkedin profile, claimed to be a “revolutionary tech platform that facilitates, enables, and empowers brokers and inventors”. “Broker Network app is a suite of services specifically designed for Indian real estate brokers and inventors,” the company had said. “At its core, it’s a largely effective matchmaking platform that connects brokers with parcels and brokers with buyers. The match machine works behind the scenes, figures out the perfect match with your post and sends prominent announcements to both parties to connect and make deals,” it had added. By June 2022, 4B Networks claimed to have 50,000 brokers on its platform, and was adding further than a 100 systems on its app every month.

The platform has expended Rs. 1000 crore worth of home loans also. It had 500 workers, with Yadav serving as the CEO. At that point, Info Edge had acquired a maturity stake in the company. “The investment will help (Info Edge attachment) ACD to strengthen its immolation in the real estate member by furnishing a new platform to real estate assiduity professionals to conduct their business efficiently through the maturity held in 4B post this investment,” Info Edge had said. InfoEdge mentioned that impairment of Rs 276 crore was charged as an exceptional item in its Q3 FY23 results. “We’re writing down the investment in light of the current state of the terrain and the significant query towards backing options available to 4B in future,” said InfoEdge’s principal administrative officer Hitesh Oberai during a critical call.