The proposed acquisitions of Snapdeal by its larger Flipkart have now officially taken off the table almost six months of negotiations.
Breaking the deal, Snapdeal’s spokesperson said that they are terminating all the talks for a merger with Flipkart and will pursue an independent path.
“Snapdeal has been exploring strategic options over the past several months. The company has now decided to pursue an independent path and is terminating all strategic discussions as a result. Snapdeal’s vision has always been to create life-changing experiences for millions of buyers and sellers across India,” Snapdeal spokesperson said
In a statement, the SoftBank Group said: “We respect the decision to pursue an independent strategy. We look forward to the results of the Snapdeal 2.0 strategy, and to remain invested in the vibrant Indian e-commerce space”.
Sapdeal’s largest investor, SoftBank, was mediating in the talks for sale for the past few months. The deal, however, didn’t go down well with Snapdeal’s founders Kunal Bahl and Rohit Bansal.
Snapdeal could see a cut in the workforce significantly and scale down its operations if the decision is taken to continue as an independent entity