New Delhi, August 1: After months of negotiations, Snapdeal has put an end to its sale plans as it decided to remain independent. Although the investors including SoftBank has spent a lot of time engineering an all-stock transaction, founders Kunal Bahl and Rohit Bansal chose to pull the plug on acquisition talks.
In a joint letter to employees, Snapdeal founders Kunal Bahl and Rohit Bansal said the company has a clear visibility to making upwards of Rs 150 crore in gross profit in the next 12 months.
In May too, Flipkart had reported slightly higher gross sales than Amazon on the back of its Big 10 sale (which makes a reference to Flipkart turning 10), the first three people said, and requesting anonymity. Including its fashion units Myntra and Jabong, Flipkart was far ahead of Amazon in the last quarter.
Both Flipkart and Amazon have been reporting strong sales growth, the online retail market in India continues to struggle. A 2016 report from accounting firm EY noted that e-commerce has grown at a compound annual growth rate of over 50 percent in the last five years in India and the pace of growth is expected to continue, with e-commerce sales topping $35 billion by 2020.