Affle Global says it has won legal battle against PhonePe
PhonePe had placed a bid to acquire 92 per cent stake in Indus OS at a valuation of around USD 60 million which Affle had opposed
Affle says it has won the initial legal battle in a case filed against it by Walmart-owned PhonePe in a Singapore court in the Indus OS stake sale matter.
PhonePe had placed a bid to acquire 92 per cent stake in Indus OS at a valuation of around USD 60 million.
However, the biggest shareholder in the company, Affle Global Pte Ltd (AGPL), has opposed the deal.
AGPL estimates that the valuation of OSLabs, known as Indus OS, is around USD 90 million and has refused to sell its 25 per cent stake at a lower valuation.
The company operates app store 'Indus App Bazaar', which comprises over four lakh apps accessible in English and 12 Indian languages -- Hindi, Gujarati, Marathi, Tamil, Telugu, Urdu, Odia, Punjabi, Malayalam, Bengali, Assamese and Kannada.
AGPL had filed an injunction suit against the resolution passed by Indus OS approving stake sale to PhonePe which has been challenged by the fintech firm in a Singapore court.
Both AGPL and Indus OS are registered in Singapore.
Speaking to a news agency, AGPL said that according to the last high court hearing on June 18, PhonePe has lost its existing voting rights in OSLabs general meeting in reference to the court's orders. OSLabs' resolutions for issuance of new shares that aimed to dilute existing shareholders were also termed invalid by the court, said AGPL.
But PhonePe and OSLabs have refuted AGPL's claims to winning the legal battle. The PhonePe said that AGPL's statements in the case are incorrect and the matter is still subjudice with no verdict passed yet.
"The court has merely directed OSLabs to hold an EGM in connection with a subject matter for which certain written resolutions had been passed," said the company.
