Online classifieds firm Quikr India Pvt. Ltd, one of India’s most valuable start-ups, bought real estate portal CommonFloor in a distress sale orchestrated by Tiger Global Management Llc, the influential US-based hedge fund that is an investor in both.

Quikr, valued at an estimated $1 billion, and CommonFloor (maxHeap Technologies Pvt. Ltd) didn’t disclose the terms of the transaction, but two people familiar with the matter said Quickr paid $120 million in an all-stock deal. The people spoke on condition of anonymity.

CommonFloor was valued at more than $150 million when it last raised Rs.60 crore from Google Capital in December 2014. The company raised a total of Rs.321 crore from Tiger, Accel Partners and Google Capital since 2011. Quikr and CommonFloor have valuations that seem disproportionate to their revenue.

Classifieds firms such as Quikr are given more generous valuations because of a large customer base that can potentially be monetized in future through advertising and the winner-takes-all nature of the business. Quikr primarily has just one rival to contend with: Olx, which is backed by Naspers Ltd, a South African mass media company.