Amazon reportedly in talks to buy Jabong in India


MUMBAI: With the rivalry rising in the e-commerce space, it looks like the Indian arm of Amazon is ready to heat it up a notch.  The e-tailer is reportedly in talks with Indian fashion site Jabong to acquire it.

According to a report in a leading daily, the talks are at a preliminary stage and despite being valued at around $500 million in a recent regulatory filing, Jabong is holding out for $700 million as it reports to have multiple suitors.

Denying commenting on the speculations, Amazon said, ?We do not comment on anything we may or may not do in the future.?

The report quoted a person working with the US e-tailer as saying that Jabong was ideal for acquisition since Flipkart had acquired Myntra in May for around $330 million.

Flipkart-Myntra reportedly has 50 per cent of India?s online fashion retail market share with Jabong at 25 per cent.

Amazon CEO Jeff Bozos had promised to invest $2 billion in its India operations with a big chunk of it going towards acquisitions.

Fashion e-tailer Jabong is part of a global group after its investors German venture capital group Rocket Internet and with Swedish investor Kinnevik announcing a merger of five emerging market fashion start-ups. The merged entity is called Global Fashion Group (GFG) and worth about worth 2.7 billion euros or around Rs 21,000 crore.

The company's CEO Arun Chandra Mohan has also been pretty optimistic about the company's outlook and had said in a recent interview to the paper said, "I believe the valuation of my company is going to be significant. We are going to be a billion dollar business."

Amazon India started offering fashion products on its marketplace in May, and an acquisition offers a swift route to scaling up. In the US, Amazon chose a similar strategy to improve its fashion credentials by buying Zappos in 2009. 

Latest Reads

Airtel, Jio have bid for assets of Aircel

Leading telecom players Bharti Airtel and Reliance Jio both have bid to separately purchase assets of bankrupt telecom operator Aircel. According to a Mint report, lenders to Aircel are keener on a lump sum sale to a single party which could get better value of the assets.

iWorld Telecom
Irdeto and Alibaba Cloud Make It Easy to Securely Deliver OTT Content and Services

Alibaba Cloud, the cloud computing arm of Alibaba Group, has selected Irdeto Rights to simplify OTT content protection for its customers. Irdeto’s multi-DRM solution, including ChinaDRM, PlayReady, Widevine and FairPlay support, will enable content owners and operators to quickly deploy OTT...

iWorld Over The Top Services
Hoichoi to venture into pay-per-view, offline payment method

SVF, the big name in Bengali entertainment industry, last year launched its Bengali OTT platform Hoichoi riding the wave of digital growth.  In the second season of its journey, it is expanding its footprint into Bangladesh and UAE market.

iWorld Over The Top Services
Eros Now to launch original regional web series by early 2019

Eros Now, the digital arm of Eros International announced its foray into the original content space with its first series Side Hero, with all episodes available for binge-viewing from 24 September 2018.

iWorld Over The Top Services
Anil Ambani to exit telecom business; focus on real estate

The 14th AGM of Reliance Communications, promoted by Anil Ambani, saw confirmed talks of Anil Ambani's exit from the telecom business. He said that Reliance Communications will concentrate majorly on real estate in the future.

iWorld Telecom
Rajneel Kumar joins ZEE5 as Business Head – Expansion Projects & Head of Products

ZEE5 India, India's largest platform for multi-language content, today announced the appointment of Rajneel Kumar as the Business Head –Expansion Projects& Head of Productsfor the digital Business of Zee Entertainment Enterprises Ltd.

iWorld Over The Top Services
Jio continued to add subscribers rapidly in July 2018

Mukesh Dhirubhai Ambani’s largest startup in the world in the form of Reliance Jio Infocomm Limited, or simply Jio, continued adding subscribers at almost constant rate in the month of July 2018 (Jul-18) according to Telecom Regulatory Authority of India (Trai) Telecom subscription data.

iWorld Broadband
Vodafone Idea board approves merger of Aditya Birla Telecom

The board of Vodafone Idea Ltd has approved the merger of Aditya Birla Telecom Ltd (ABTL) with itself while the latter holds an 11.15 per cent stake in telecom tower firm Indus Towers.

iWorld Telecom
CloudWalker partners with Spuul to liven up the living room with 10,000 hours of your favourite Bollywood and Regional movies

CloudWalker, a Smart TV company and Spuul, a popular online video streaming service has announced a partnership to enable users to watch Bollywood and regional movies on Cloud TV X2, India’s First 4K-Ready Full HD Smart TV on Android 7.0 Nougat OS.

iWorld Over The Top Services

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories