TA Associates acquires minority stake in BillDesk

Private equity investor TA associates have announced minority stake acquisition in BillDesk, an e-payment processing services provider. BillDesk, a part of IndiaIdeas.com Ltd, offers online payment services for utility bills, credit card, depository account charges and ISP charges.billdesk

Dhiraj Poddar, Director, TA Associates Advisory has joined the company’s board of directors as part of the deal. Talking to Pluggd.in on the investment rationale Poddar said, “TA Associates considers BillDesk to be well placed to benefit from the growth in electronic payment volumes. E-payments today form a very small portion of total payments and collections in India: Cash and cheque forming bulk of the transaction volumes. BillDesk is a neutral service aggregating banks, billing corporate and merchants across multiple electronic channels. It has enjoyed significant growth and strong financial performance. The company has a skilled management team and is executing on a sound business plan.”

Though the terms of the agreement remain undisclosed sources claim that the deal involves secondary purchase of shares from one of the exiting investors of the company. Financial investors in BillDesk include Clearstone Venture Partners, SBI, Bank of Baroda and National Venture Fund. For TA Associates, BillDesk is the fifth investment in the country. Its average ticket size in India ranges between $45 million and $125 million.

Earlier, payment gateway EBS was acquired by European company, Ogone.