BUSINESS

Snapdeal Gets ₹113 Crores In Emergency Funding From Nexus Ahead Of Sale To Flipkart

Merger talks with Flipkart have dragged on because of differences over valuation.  

30/05/2017 10:23 AM IST | Updated 30/05/2017 12:08 PM IST
Adnan Abidi / Reuters

Snapdeal has received a fresh cash infusion of ₹113.3 crores from existing investor Nexus Venture Partners and the company's co-founders, according to media reports.

According to the regulatory filings by Snapdeal's parent Jasper Infotech, Nexus has invested in ₹96.3 crore and Kunal Bahl and Rohit Bansal put in ₹8.5 crore each. The news was first reported by VCCircle which cited filings with the Registrar of Companies. With the latest funding, Nexus has now invested about ₹306 crores.

The funding comes even as Snapdeal has been in talks with rival Flipkart for a possible sale. The cash infusion is not expected to affect the sale talks, Mint reported citing people familiar with the matter.

In March, Snapdeal began talks with bigger rival Flipkart for a sale amid reports of dwindling cash reserves. As of April, Snapdeal had cash to last less than four months, according to a Mint report at the time.

But merger talks have dragged on because of differences over valuation.

Snapdeal has over two dozen investors including SoftBank, Chinese e-commerce giant Alibaba, eBay and a string of venture capital firms such as Bessemer Venture Partners, Kalaari Capital, Intel Capital.

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