Flipkart obtain eBay India after $1.4 billion funding round
eBay was one of the international tech companies that invested in Flipkart this round
Flipkart – India’s largest online retailer – today announced two important pieces of news.
But maybe most exciting, it also announced that it was to get eBay India. Flipkart nor eBay have revealed terms, but according to the Economic Times, it'll continue run as a separate entity from Flipkart.
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In an indication of increased co-operation between Flipkart and the world’s largest online marketplace, the two companies have signed an exclusive cross-border trade deal. As a result, Flipkart customers will get access to eBay’s inventory that is global, while eBay customers will undoubtedly manage to buy from merchants to the Flipkart platform.
eBay was one of the international technology businesses that invested in Flipkart this round and is thought to have wager $500 million on the business.
It will come using a bitter aftertaste, while fresh capital is excellent news for Flipkart. The present valuation of $11.6 billion is down from $15.2 billion in 2015 when it last raised cash.
The low valuation indicates investors are taking a sober look at India’s biggest online retailer, which can be currently grappling with insurgent rival firms, like Amazon, Snapdeal, and Shopclues, in addition to the hurdles to building its logistics in among the biggest and many populous countries on the planet.