Serious Implications Flipkart Snapdeal Merger
There are some Serious Implications Flipkart Snapdeal Merger. Since the past 6 months, we all had been hearing the big buzz in the e-commerce industry – the possible chances that there could be a record breaking merger between Flipkart and Snapdeal. Finally, all hell broke loose when it was out in the news that the boards of both parties have commonly agreed to call off the merger – yes, that means there is no such merger happening.
It was noted that all big and small investors of Snapdeal saw that with this merger, there would be a lot of glad tidings and hence they saw this more or less like a raw deal.
It has also been reported that if this deal would strike, Flipkart would be acquiring Snapdeal at a whopping valuation of $900 Million. With this deal, the founders, Rohit Bansal and Kunal Bahl would have acquired Rs. 146 Crore and Rs. 235 Crore respectively. This difference in amounts is because Mr. Bansal has a 2.53% stake and Mr. Bahl has a 4.08% stake in the company.
After this final decision, it has come out in the media that Flipkart is already in talks of having about $2 Billion investment. This was reported to the public at large by Reuters.