Myntra merger and acquisition deal with Flipkart to fight with with Amazon, Ebay
India’s biggest e-commerce company, Flipkart, is in the final stages of completing a merger deal with the country’s fast growing online fashion retailer Myntra, in what could potentially create a much stronger entity for fending off aggressive rivals Amazon, Walmart and the eBay-backed Snapdeal.
Statement said -
“Flipkart is registered in Singapore and Myntra is completely based here — that’s creating some delays and complexities around jurisdiction, etc, Some entities are also registered in Mauritius, adding to the delays in making this transaction happen early.”
The merger between the companies has been in the works for a few months now, with the last few weeks seeing hectic parleys over Myntra’s autonomy post the deal. It is understood that stakeholders have ironed out differences over the autonomy issue.
Both Flipkart and Myntra are among the most funded e-commerce startups in India. Flipkart has raised $540 million so far from investors including Accel, Tiger, Dragoneer Investment Group and Morgan Stanley Investment Management. In October last year, it raised $160 million, taking its Series E funding to be the largest ever by any Indian Internet company.