Flipkart raises its biggest round at a lesser valuation and acquires eBay but is it enough to steer off Amazon?
The e-tailer mentioned that this capital was raised at a post-transaction valuation of $11.6 billion, a drop from $15.2 billion valuations in May 2015 when it had last raised funds.
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This funding round signals a victory for new Flipkart chief
eBay, which is also a minority investor in
Flipkart and Amazon now serious contenders in India’s $15 billion online retail market which might even see the sale of Delhi-based Snapdeal to its biggest competitors if reports are to be believed.
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According to investors, this resurgence by Flipkart means that the battle of sales will be more closely fought but it doesn't necessarily mean that acquiring more companies will add to
Advertisement" This deal reaffirms our resolve to hasten the transformation of commerce in India through technology,” Flipkart founders
This hastening process still needs to be well-considered by the Bansals who are overlooking the entire ecosystem created by Flipkart.
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“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.
eBay said in a statement that Flipkart will acquire eBay’s buyers in India and they will remove the number of active buyers in India when the acquisition is completed. eBay had disclosed a total 167 million global active buyers in the fourth quarter of 2016.
This fund raise will spell out the fate of Indian e-commerce market even though with this fund-raise Flipkart has become less of an Indian company. Registered in
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