Flipkart buys eBay India
Hello guys, Amazing news! this is the largest ever eCommerce deal in India. Flipkart buys eBay India, raises record $1.4 billion in funds With the deal, eBay India will operate as an independent entity under Flipkart in exchange for equity stake in the company. Flipkart has announced that it has raised a total of $1.4 billion from Tencent, eBay and Microsoft.
Commenting on the development, Sachin Bansal and Binny Bansal, Founders of Flipkart said, “We are delighted that Tencent, eBay and Microsoft — all innovation powerhouses — have chosen to partner with us on their India journey. We have chosen these partners based on their long histories of pioneering industries, and the unique expertise and insights each of them bring to Flipkart. This deal reaffirms our resolve to hasten the transformation of commerce in India through technology.”
With this fresh infusion of funds, Flipkart’s valuation stands at over $11.6 billion, as opposed to $15.2 billion in may 2015. Tencent, eBay and Microsoft now join Tiger Global Management, Naspers Group, Accel Partners and DST Global as investors in Flipkart.
“This strategic partnership enables Tencent to participate in the exciting opportunities in e-commerce and payments in India. We look forward to helping Flipkart to deliver compelling experiences to users throughout India, and to contribute to the development of the internet ecosystem there,” said Martin Lau, Tencent President.
Flipkart and eBay have also signed an exclusive cross-border trade agreement, as a result of which customers of Flipkart will gain access to the global inventory on eBay, while eBay’s customers will have access to Indian inventory provided by Flipkart sellers. Thus, sellers on Flipkart will now have an opportunity to expand their sales globally on eBay.
Devin Wenig said,
“The combination of eBay’s position as a leading global e-commerce company and Flipkart’s market stature will allow us to accelerate and maximize the opportunity for both companies in India,”
-President and CEO of eBay Inc.
Flipkart buys eBay India – ( News Soure)