Agri fintech startup Unnati to acquire Info Edge-backed farm input platform Gramophone

Agri fintech startup Unnati is set to acquire Info Edge-backed farm input platform Gramophone in a stock-swap transaction.

In a stock exchange filing on Saturday, Info Edge said its wholly owned subsidiary Startup Investments (Holding) Ltd. (SIHL), will transfer its entire stake in Gramophone to Unnati. In return, SIHL will receive a 15.7% equity stake in Unnati on a fully diluted basis.

Info Edge will also make a primary investment of Rs 35 crore in Unnati, taking its aggregate shareholding to about 20.5%, which will dilute to 18.48% following the issuance of shares to other Gramophone shareholders.

Founded in 2010, Gramophone operates a digital platform for the distribution of agricultural inputs. It reported a revenue of about Rs 67 crore in the financial year ended March 2025.

Unnati, founded by former Paytm Chief Financial Officer Amit Sinha, provides financing and distribution services for farm inputs. It reported a revenue of Rs 291 crore for the same period, while posting a loss of Rs 18 crore.

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SIHL currently holds 39.58% in Gramophone, a stake that will rise to 50.94% on an 'as-if converted' basis prior to the transfer, temporarily making Gramophone a subsidiary of SIHL. “The increase in stake from 39.58% to 50.94% in Gramophone is on account of the valuation at which the ‘exit event’ is being undertaken by Gramophone,” Info Edge said in the filing.

The transaction values Gramophone at about Rs 92 crore, based on a price of around Rs 2,703 per share. SIHL will transfer 3,39,305 shares, representing 50.94% of Gramophone on a fully diluted basis, to Unnati. The deal is expected to be completed within 90 days, subject to customary conditions.

Following the completion of the transaction and the proposed merger of Gramophone into Unnati, Gramophone will cease to be a subsidiary of SIHL. Info Edge’s exposure will shift to a minority stake in the combined entity, the company said.