Indian eCommerce rakes in investments

Several Indian eCommerce players are rapidly raking in investments, with India's number 2 (Snapdeal) receiving 200 million dollars in funding. Market leader Flipkart is also mentioned in the local media.

Booming business

Snapdeal, India's second largest eCommerce website, recently acquired 200 million dollars (179.5 million euro) from a group of institutional investors, business paper De Tijd writes. Barely 6 months ago, it had already received half a billion dollars in investments from Alibaba, Softbank and Foxconn. Since it was founded, Snapdeal managed to attract 1.8 billion dollars (1.6 billion euro) in funds.

 

That is a huge sum, but still well below what "India's Amazon", market leader Flipkart, managed to attract. In total, it obtained 3.2 billion dollars (2.87 billion euro) in funds, while local media estimate it still has several billion dollars in reserve, according to De Tijd.

 

Indian eCommerce has experienced a very large growth, from 2.06 billion euro in 2012 to 15.7 billion euro in 2014, nearly 8 times as much. This obviously attracts interest from foreign investors.  

 

Belgian link

There is also a Belgian link: both Indian internet giants are not unknown to Sofina, a Belgian holding with 2 % in Flipkart and a small stake in Snapdeal. It acquired the stake in April last year when Flipkart acquired Indian Freecharge and partly paid for that deal in shares.

 

British business paper Financial Times reported yesterday that Sofina - alongside Blackrock, a Chinese fund and others - invested another 200 million pounds (256.5 million euro) into The Hut, the British owner of websites like Mankind (beauty for men), Coggles (designer clothing), Exante Diet (diet food) and Myprotein (sports food).

Questions or comments? Please feel free to contact the editors


27/05/2016

Coolblue opened a credit line with Rabobank to pay 2015's dividends to its shareholders, but according to CEO Pieter Zwart, that does not pose any problem and he also points to Coolblue's strong growth.

26/05/2016

Suitsupply has faith in the power of WhatsApp and its Chinese equivalent, WeChat. Both could be an exclusive sales channel, according to marketing director Martijn van der Zee during his E-Commerce Live! panel talk in Amsterdam.

19/05/2016

Carrefour and French bank BNP Paribas have developed a free payment app together, called Wa!. Customers can use the app to do mobile payments, keep track of their loyalty cards and take advantage of coupons.

19/05/2016

According to eBay and Myer, they have created a world's first: consumers can visit a web shop completely hands-free thanks to a virtual reality application. Is it a gimmick or the future of shopping?

18/05/2016

Online retailer Amazon's CEO, Jeff Bezos, indicated the company wants to open more physical stores in the future, alongside a further expansion of subscription service Prime's features. 

18/05/2016

Chinese online giant Alibaba's founder, Jack Ma, will no longer be present at the International Anticounterfeiting Coalition's conference (IACC). He was supposed to give the keynote speech, but decided to call it off.

17/05/2016

Several sources indicate Google is working on an Amazon Echo competitor, a speaker that gives its users - through voice commands - the opportunity to perform a range of tasks, like online searches.

11/05/2016

Will Chinese internet giant Alibaba consider its Benelux office a mere footnote in its existence or is there a reason for this specific move? In any case, the Chinese market has a huge appetite for any Western brand product.

10/05/2016

The world's largest internet retailer, Alibaba Group, will open an office in Amsterdam to guide Benelux-based companies to the Chinese market. Former Blokker CEO Roland Palmer will lead Alibaba Group's Benelux operations.

09/05/2016

Taxi service Uber has found a new way to entice consumers to use their service: it now collaborates with retailers to offer free rides to its customers.

09/05/2016

Korean electronics manufacturer Samsung has launched a payment service for its Smart TVs. With Samsung Checkout, users can go through an entire payment process with their remote control. From the start, the service is available in 53 countries. 

06/05/2016

In the first quarter of 2016, Chinese online giant Alibaba's turnover grew nearly 40 %, which means it trumps expectations and shows that it is not bothered by China's slower growth.

Back to top