LS Digital buys Social Panga in third acquisition

economictimes.indiatimes.com:

LS Digital Group, India’s largest homegrown integrated digital marketing services company, has made its third acquisition with the buyout of digital marketing agency Social Panga as part of its strategy to provide end-to-end services to brands, a top company executive said. The Social Panga acquisition deal, which is split 50/50 between cash and equity, will help the company bolster its creative and communication practice, LS Digital Group founder and CEO Prasad Shejale told ET. Social Panga’s co-founders Himanshu Arora and Gaurav Arora will join the LS Digital Group as co-founders.

With the addition of Social Panga’s 370 employees, LS Digital’s total headcount will swell to 1,500. «Social Panga has joined the LS Digital Group. Social Panga co-founders have built an awesome company in integrated communications and production.

Last year, they did an EBIT of Rs 50-60 crore,» Shejale said. Shejale said that the co-founders of companies becoming part of LS Digital Group will own equity in the holding company to unlock value in the future. «There is a value we will create when we go public because all of them have equity in LS Digital Group as part of their deal.