Government

November 14, 2017

Alibaba applies for CCI permission to buy stake in BigBasket


Alibaba

In a bid to enter Indian market, China’s e-commerce giant, Alibaba had applied for permission from Competition Commission of India (CCI) for acquiring stake in Indian online grocery start-up, BigBasket.

CCI in a notice informed that, “The proposed combination relates to the acquisition and purchase of shares of Supermarket Grocery Supplies (BigBasket parent) by Alibaba Singapore.”

According to some reports, Alibaba, along with Paytm Mall, (in which Alibaba is an investor) were in discussions with BigBasket to pick up a minority stake for about $200 million. Investing in BigBasket would help Alibaba add more muscle to take on US-based rival Amazon, while for Paytm, the move would further strengthen its play in the Indian e-commerce space.

A recent report by research firm RedSeer said that India’s online grocery market may reach to $1 billion in 2017, driven by strong growth in transactions and average order value.

“2017 is on track to be a robust year for e-grocery market with 60% year-on-year growth likely. Sales have been driven largely by volume growth, which points to growing acceptance and penetration of online grocery,” the report said.

BigBasket is currently operating in numerous Indian cities such as, Bengaluru, Hyderabad, Pune, Mumbai, Chennai, Delhi-NCR, Ahmedabad, Patna, Kolkata, Jaipur, Vijayawada, Indore, Punjab and Lucknow.

BigBasket recently rose over $200 million from investors including Abraaj Group, Bessemer Venture Partners, Growthstory, Helion Venture Partners, IFC and Sands Capital.

Related Post

latest News

  • TN Tops Southern States In Revenue Deficit: RBI

    According to the Reserve Bank of India (RBI), Tamil Nadu is known widely for providing a number of freebies, tops the list of southern States in reven...

    Read More
  • SC Imposes Rs 10 Lakh Fine Each On Two People For Filing Motivated Petition

    On August 24, a bench comprising Chief Justice J.S. Khehar and Justice D.Y. Chandrachud of the Supreme Court imposed a cost of Rs 10 lakh each on two ...

    Read More
  • SC Constitutes Vacation Benches To Hear Crucial Cases During Summer Vacation From May 11 to July 2

    The Supreme Court will hear 5,300 cases during the summer vacation commencing from May 11. The SC registry issued a list of advance regular hearing ma...

    Read More