ShareChat has decided to unite its short-video platform Moj with MX Media’s TakaTak in a strategic merger, according to a press release. The merger will result in the creation of the largest short-video platform in India with over 100 million creators and 300 million Monthly Active Users (MAU), the press release claimed. The two platforms will be controlled by ShareChat whereas MX Media and its shareholders will pick up a stake in ShareChat’s parent firm Mohalla Tech. The companies have not disclosed the terms of the deal but it is estimated to be about $900 million and includes both cash and equity, TechCrunch reported. (Reuters, which broke the story first, is reporting an estimate of $700 million.) MX TakaTak will continue to operate as a separate platform for now. However, the two apps’ creator bases, content supply, and recommendation algorithms will be integrated eventually, the press release added. It has not been decided whether one of the apps will absorb the other or if they will continue to coexist in their current avatars and will be decided in a few months, TechCrunch said in its report. Several homegrown contenders emerged to fill the void which TikTok left in its wake following a ban on Chinese apps by the Indian government. The ban has been in place for two years now, and this merger is a sign that the short-video space may start to see some consolidation in order to remain competitive. ShareChat has been in talks with MX since October 2021…
