Online fashion retailer Myntra finally confirmed that it has been acquired by Flipkart earlier today at a press conference.Here are updates from the event:
12:50 – Mukesh Bansal will be joining Flipkart board and will be heading the fashion business for Flipkart.
12:52 – Sachin Bansal – This is a 100% acquisition of Myntra. We can’t share any more details.
12:55 – Mukesh Bansal: There will be zero change in the roles post acquisition. Both the companies will continue to work separately.
12:56 – Flipkart will be investing upward of $100M in Myntra in near future.
12:57 – Sachin Bansal : Myntra acquisition is for scale not for cost.
13:00 – Sachin Bansal : Our role model is more of Alibaba group than Amazon because it is more suited for Indian market.
13:02 – Post acquisition, Myntra and Flipkart will account for 50% marketshare in Fashion.
FLIPKART – MYNTRA DONE DEAL Sachin Bansal says: Together we will have over 50% market share; Myntra alone is at 30%
— Shereen Bhan (@ShereenBhan) May 22, 2014
13:20 – They can’t comment on investment size, how the deal is structured, cash or stock.
13:25 – Myntra employees who have esops will be getting Flipkart stock. (Still need further clarification on this.)
13:33 – No comment on whether there is any clause on how long Mukesh will have to be at Flipkart. Also no clarity on whether Myntra investors are completely exiting or they got Flipkart stock.
13:42 – Confirmed: All Myntra employees get Esops which will now be converted to Flipkart stock.
13:43 – That’s the end of the live blog.