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Google in preliminary negotiations to purchase regional language social media platform ShareChat

ShareChat, a Bengaluru based homegrown regional language social media platform is in preliminary talks with Google Inc for a takeover deal, reports Economic Times.

The company has been valued at $1.03 billion with Google has signing a term sheet or a non-binding proposal with the company and conducting a due diligence exercise.

If this deal goes through, the existing investors in the company could exit, with the founders retaining a small stake.

ShareChat boasts of 160 million users across India and offers services in some 15 vernacular Indian languages.

After the Doklam incident Indian government banned  TikTok and ShareChat launched a competing short-video format application in July which allowed the company to achieve phenomenal growth, amassing 80 million users as per industry estimates.

Google chief executive officer Sunder Pachai had announced a $10 billion investments into India and also there is a $4.5 billion investment into Mukesh Ambani’s Reliance Jio Platforms for a 7.73 per cent stake.

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