Japan's SoftBank to orchestrate Flipkart, Snapdeal merger?
The deal may include a $1 billion share sale by Flipkart's largest investor, New York-based Tiger Global, along with an infusion of fresh equity by SoftBank
In what could make it India's biggest e-commerce merger, online retailer Snapdeal will merge with Flipkart.
According to a report in The Times of India, Japanese giant SoftBank is ‘orchestrating a possible merger’ between the two.
"SoftBank is likely to invest up to $1.5 billion in the merged entity by picking up primary and secondary shares, giving it around 15% in the Flipkart-Snapdeal combine," the TOI report said.
"The deal may include a $1 billion share sale by Flipkart's largest investor, New York-based Tiger Global, along with an infusion of fresh equity by SoftBank," the TOI report further said.
Snapdeal had laid off 500-600 employees across verticals even as Co-Founder Kunal Bahl admitted to making mistake in growing much before it could figure out right economic model.