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After Snapdeal rejects Flipkart’s offer, it may merge with Infibeam and form a $2 billion company

Jul 14, 2017, 10:54 IST
In the latest development, Snapdeal may merge with Infibeam, which is India’s only publicly listed e-commerce company.
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As per various reports, Infibeam is in talks with Snapdeal for possible merger talks and has even put a term sheet that may value Snapdeal at $1 billion. If this deal goes through, Infibeam and Snapdeal together will create a company valued at $2 billion.

Ahmedabad-based Infibeam has a market capitalisation of Rs 6,100 crore.

The development comes after Snapdeal rejected a $700-750 million offer for sale to Flipkart. However, PTI reports Flipkart may make a new offer of $900-950 million.

"While Infibeam has a focus on business-to-business commerce, Snapdeal's is a consumer-led online retail platform which is why this merger may bring in synergies in their operations. While Infibeam has given a term sheet, it's not the end of the road for Flipkart," ET quoted sources as saying.

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