The Indian arm of the American e-commerce company eBay Inc, eBay India is reportedly in talks with Flipkart over an acquisition deal. The Indian e-commerce giant is set to acquire eBay India in a $2 billion capital-raising venture, reports Pankaj Mishra for Factor Daily. eBay India is the country’s sixth largest e-commerce platform after Amazon India, Flipkart, Shopclues, Paytm and Snapdeal in a market worth approximately $15 billion.
Backed by Microsoft and eBay, China-based internet services major Tencent is pouring in $500 million into Flipkart as part of its latest round of fundraising. This comes days after Bloomberg reported that Microsoft and Flipkart had closed a $1 billion fundraising deal.
The current valuation of Flipkart is $10 billion, higher than the expected valuation of $8 billion but lower than the earlier one of $15.1 billion. Sources also say that Flipkart is in talks with American retail giant Walmart for the medium term.