Indian startups Mygate and AdOnMo have announced a proposed merger to combine residential community management with digital advertising services. Under the agreement disclosed on October 21, 2026, Zomato parent Eternal will exchange its entire AdOnMo stake for shares in Mygate's parent company, Vivish Technologies. The transaction would give Eternal approximately 4.4% ownership in the merged entity, subject to customary closing conditions and regulatory approvals.
How the Share Swap Will Work
According to Eternal’s stock exchange disclosure, the company will transfer 11,214 Series B compulsorily convertible preference shares and 10 equity shares in AdOnMo. In return, it will receive 184,091 Series C1 compulsorily convertible preference shares and 164 equity shares in Mygate. The transaction values Eternal’s proposed holding at approximately ₹156 crore, without requiring a cash payment.
Eternal initially invested ₹112 crore in AdOnMo in January 2022, meaning the disclosed value of its new holding is approximately 39% above its original investment. Immediately after the share exchange, Eternal is expected to own 5.4% of Mygate on a fully diluted basis. That percentage will decrease to around 4.4% when the broader merger is completed and AdOnMo’s other shareholders receive Mygate shares.
Combining Community Services and Advertising
Mygate provides technology for residential communities, including visitor management, security, accounting and resident communications. AdOnMo operates a cloud-connected network of digital advertising displays that can reach audiences in shared residential spaces. Combining these services is intended to connect community operations with additional advertising and communication channels.
According to the companies’ announcement, Mygate serves more than six million households across approximately 30,000 residential communities. AdOnMo contributes a network of more than 55,000 connected digital screens across 27 Indian cities. The enlarged platform could allow residential associations to communicate with residents while generating revenue from advertising in shared areas.
The merger will also expand the advertising formats available to brands using either company’s services. Mygate’s advertisers could gain access to AdOnMo’s screen inventory, while AdOnMo’s clients could use Mygate’s in-app advertising placements. AdOnMo cofounders Sandeep Bommireddi and Sravanth Gajula are expected to join Mygate’s board following the merger.
Revenue Growth and Expansion Plans
Eternal’s disclosure shows that Mygate generated ₹229 crore in turnover during the financial year ended March 2026, compared with ₹171 crore a year earlier. Its reported turnover for the preceding financial year was ₹96 crore, reflecting substantial expansion over the three-year period. The merger follows Mygate’s ₹225 crore funding round led by Dharana Capital in June 2026.
Mygate executives have indicated that the combined business is expected to generate more than ₹500 crore in revenue during the current financial year. They have also outlined a goal of reaching ₹1,000 crore in revenue over the following two and a half years. Those figures represent management expectations rather than completed financial results.
Transaction Timeline
Eternal expects to enter into the share-transfer agreement by October 31, 2026, with completion targeted on or before December 5, 2026. The share exchange is subject to definitive agreements and customary closing conditions, while the companies have described the wider merger as requiring applicable approvals. The proposed integration has therefore been announced but has not yet been completed.
The combination would give Mygate a broader presence in residential advertising while providing AdOnMo access to an established community management platform. For Eternal, the share swap converts its existing AdOnMo investment into a minority position in the proposed combined company. Completion will depend on the remaining transaction requirements, with integration and revenue growth becoming the next tests of the merger’s commercial rationale.