After a whooping raise of $1B by Flipkart and $2B by Amazon India, Snapdeal has bagged an outside investment from Ratan Tata, the chairman emeritus of Tata Group.
The amount is still not disclosed and varied speculations are being made about it. A day before Snapdeal signed a deal with Tata Value Homes to sell apartments across five cities, namely, Bangalore, Chennai, Pune, Mumbai and Ahmedabad. This Snapdeal-Tata Value Homes deal will cover 1,000 homes with home prices ranging from $30,000-$116,000 (Rs.18-70 lakh).
Snapdeal co-founder and chief executive Kunal Bahl said, “an investment by a legendary and respected figure like Mr. Tata is an excellent validation of our focused strategy on building a long term enterprise and marks the start of a very important phase for the company.”
“It is a big first out here and sets the stage for e-commerce in India participating in lives of consumers in ways that include many things beyond physical products as well,” Bahl added.
This is for the third time this year when Snapdeal has raised any outside investment. Earlier it received $100 million from Blackrock and $133.7 million from eBay.
Snapdeal has crossed $1B in sales this year according to an estimation. It is growing rapidly and is focussing on continuous improvements in delivery, services and product variety.