Snapdeal is selling FreeCharge to Axis Bank at a huge markdown price

Snapdeal’s board Jasper Infotech has agreed to sell FreeCharge to Axis Bank, ending its hunt of two years.

However, Jasper Infotech has agreed to a deal of Rs 385 crore-Rs 390 crore, which is a steep markdown as it bought FreeCharge for Rs 2,400 crore in 2015.

People aware of the ongoing developments within Jasper Infotech told ET, the board of the Delhi-based company is also expected to approve the sale of its troubled online marketplace Snapdeal, to rival Flipkart, over the course of the next 2-3 days.

Flipkart made a revised offer of $950 million to Snapdeal.

Snapdeal founders Kunal Bahl and Rohit Bansal have been arguing that they are prepared to run and operate, what has been described as a stripped-down version of the company, sources told ET.

Meanwhile, FreeCharge’s sale will come as a breather for Snapdeal as it requires capital at the moment.

The company is estimated to have recorded Rs 300 crore in transaction revenue on about 12 million transactions in April.