Flipkart’has received approval from Competition Commission of India (CCI) for acquisition of eBay’s India business. CCI, India approves subscription by eBay Singapore of CCPS issued by Flipkart and acquisition of eBay India by Flipkart, it said in a Tweet. The notice published on the CCI website says that the proposed transaction relates to the acquisition of certain compulsorily convertible preference shares of Flipkart, by eBay Singapore, and the acquisition of 100% share capital of eBay India, by Flipkart.
In April this year, Flipkart raised $1.4 billion at a valuation of $11.6 billion from Tencent, eBay and Microsoft. Along with the investment, the global e-commerce company eBay sold its India unit to Flipkart in exchange for equity in the company. eBay.in continues to operate as an independent entity which is owned and operated by Flipkart. As a result of the deal, Indian customers gained access to the global inventory on eBay, while eBay’s customers have access to Indian inventory provided by Flipkart sellers. The contribution of eBay to the funding was $500 million.
Companies acquired by Flipkart
- Flipkart acquired Myntra in May 2014 in a combination of cash and stock deal. The deal was pegged to be in the range of $250 million to $330 million. At the time of the deal Mukesh Bansal had joined the Flipkart board and Flipkart had said it would invest more than $100 mn in Myntra.
- In July last year Myntra- Flipkart acquired Jabong for $70 million in cash.
- In April Last year, Flipkart acquired payment company PhonePe for a deal that ranged between $10-20 million. It had earlier in September 2015, acquired majority stake for Rs 45.4 crore in FX Mart, which holds a prepaid payments instrument license from the Reserve Bank of India (RBI) and in December 2014, it acquired 65.71% stake in mobile payments platform ngpay.
- In September 2015, Flipkart bought back its logistics business, eKart, from WS Retail Services Pvt. Ltd.
- Flipkart has also acquired, Weread, Mime360, Chapak.com, LetsBuy, and Appiterate