Chinese online giant,Alibaba Group Holdings is likely to abstain from its investment plans in Indian online marketplace Snapdeal.
Chinese online giant,Alibaba Group Holdings is likely to scrap plans to invest in online marketplace Snapdeal,says a report in Forbes,citing technology website Recode.
As per the report,an insider informed that Alibaba was in talks with Snapdeal over a potential cash investment in what could have been the Chinese e-commerce giant's first direct investment in India.
Besides, Alibaba has held discussions with Snapdeal about a possible investment, but the Chinese company is leaning away from investing in Snapdeal right now, the Recode said. Snapdeal competes in India with bigger rivals Flipkart.com and Amazon.com, and media reports had said it was seeking USD 1 billion in its latest funding round to fuel growth.
Alibaba and Snapdeal's talks, however, did not involve a deal close to the USD 1 billion number reported, Recode cited the source as saying. Representatives for Alibaba and Snapdeal denied to comment on the matter.
Further, the Indian online player is betting big on the burgeoning eCommerce sector by investing up to $200 mn to improve deliveries Snapdeal to acquire GoJavas for Rs 200 crore, as per the industry insider. Although, the companies did not respond on the acquisition matter.
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