Dailyhunt is in discussions to acquire the social network startup Koo

Media startup Dailyhunt is reportedly in advanced discussions to acquire the Bengaluru-based social network Koo, according to two sources familiar with the matter. The potential deal is said to involve a share-swap agreement and could be finalized within weeks. Both sources requested anonymity due to the private nature of the discussions.

The talks come after Koo, which aims to rival Twitter, actively sought new capital throughout the past year. The social network, available in India and Brazil, focuses on supporting multiple local languages in order to appeal to a broader audience.

In September, Koo co-founder Mayank Bidawatka stated that the startup, which has raised over $60 million from investors such as Tiger Global, Accel, 3One4 Capital, Mirae Asset, and Blume, was seeking a strategic partner with strong distribution capabilities for its next phase of growth. Bidawatka highlighted the company’s evolution from rapid expansion to focusing on unit economics and revenue experimentation, ultimately demonstrating the viability of its business model.

Both Dailyhunt and Koo declined to comment on the potential acquisition.

VerSe Innovation, the parent company of Dailyhunt, boasts a significant user base in India, with its news aggregator platform and short-video app Josh reaching over 300 million users. In April 2022, the company secured a funding round of $805 million from investors such as Canada Pension Plan Investment Board, Ontario Teachers’ Pension Plan Board, Sofina Group, and Baillie Gifford.