19 April 2017, India:
One of the India’s largest online marketplace Flipkart has roped in investment banking firm Goldman Sachs as an advisor while Snapdeal’s Credit Suisse has taken the charge of the much awaited Flipkart-Snapdeal merger. The deal which will mark as one of the biggest deal in the e-commerce sector will be finalized in coming weeks as per the report by ET.
Also Read: Flipkart-Snapdeal Merger and its Complications!
Snapdeal was one of the toughest competitors of Flipkart back in 2015 but since then the company hasn’t been able to reach up to maximum gains. The Flipkart-Snapdeal merger is set to a two-step process that will see SoftBank, the largest stakeholder in the online marketplace, possibly invest up to $1.5 billion in Flipkart.
Snapdeal recently took a toll when people mistakenly uninstalled Snapdeal instead of Snapchat. This is the second time this year Softbank has pulled a major merger with one of its investments at a lower valuation. Earlier this year, Softbank had merged Housing.com with PropTiger in order to look for an exit and Housing’s CEO Jason Kothari who was appointed by Softbank in the first place, joined Snapdeal. Softbank had also placed Lydia Jett in the Snapdeal board right before the takeover speculations.
Goldman Sachs advise companies on buying and selling businesses, raising capital and managing risks, which enables them to grow. The firm transacts for the clients in all key financial markets, including equities, bonds, currencies and commodities, so that capital flows, jobs are created and economies can grow.
Founded in 1856, Credit Suisse has a global reach with operations in over 50 countries and employ 48,200 employees from over 150 different nations. The firm takes a balanced approach in order to capture the wealth management opportunities in emerging markets. (Image- Hindustan Times)
Also Read: Snapdeal Founders (Almost) Confirm Takeover Speculation