SoftBank Internet and Media, Inc. (“SIMI”) and Snapdeal on Monday announced definitive agreements under which the SoftBank Group will become the largest investor in Snapdeal, through a total investment of $627 million.
Reports say that Snapdeal has raised approximately $ 1 billion during this year.
Through this investment and partnership with Snapdeal, the SoftBank Group aims to further strengthen its presence in India and leverage synergies with its network of Internet companies around the world.
Masayoshi Son, Chairman and CEO of SoftBank Corp. said, “We believe India is at a turning point in its development and have confidence that India will grow strongly over the next decade. As part of this belief, we intend to deploy significant capital in India over the next few years to support development of the market.”
Nikesh Arora, Vice Chairman of SoftBank Corp., CEO of SIMI said that though India has relatively small online market, the company saw a big growth potential. He added, “With today’s announcement SoftBank is contributing to the development of the infrastructure for the digital future of India.”
Kunal Bahl, Co-founder and CEO of Snapdeal said, “Our entire team at Snapdeal is thrilled and honoured to have SoftBank as a strategic partner.”
The SoftBank Group comprises SoftBank Corporation and its subsidiaries and associates that offer a comprehensive range of mobile communications, fixed-line communications and Internet services around the world.
Founded in 2010, Snapdeal has more than 25 million registered users and more than 50,000 business sellers.
–PTI