The cat’s out of the bag; Alibaba’s not buying Snapdeal!
Factor Daily reported at the start of the month thatAlibabawas discussing acquisitions withSnapdeal. But, the rumors can finally be put to rest. On Thursday, asource aware of the situation revealedthat no talks of an acquisition were underway.
Even the marketplace’s co-founder Kunal Bhal tweeted the following on Thursday:
Alibaba’s entry into Indian online retail
Alibaba might haveinvested in Snapdealbut the Chinese ecommerce company has also invested in Snapdeal’s competitorPaytm.
Paytm recently took Snapdeal’s leadin the ecommerce rat race. Backing from Global ecommerce leader Alaibaba could have given the etailer the push it needs. But poor performance could be a reason why the foreigner isn’t interested in acquiring Snapdeal.
Before Snapdeal, it is rumored thatAlibaba was in talks with Flipkart about an acquisition. But when that deal didn’t work out, it is believed thatAlibaba set its sights on Snapdeal.
Many believe thatPaytm will be Alibaba’s entry way into Indian ecommerce. However, the international ecommerce giant wassupposedly in talks with Shopclues about an acquisition. Again, no official details were provided by either party.
Alibaba claimed 2016 would be the yearit dived into the Indian online retail scene. However, theonline marketplace seems to have cold feeton account of the changing ecommerce landscape.
2016 may not be the year the foreigner enters Indian online ecommerce, however it has already begun to assemble its Indian online retail team. It was looking for an office in Bangalore,In June, it hired Bharati Balakrishnan, the chief business officer at LocalOye as its first employee.
By September, Madhur Deep an executive at McKinsey and Goldman Sachs was appointed as vice president. The market entry, investments and partnerships for B2B and B2C businesses are going to be initiated by Deep, for the Alibaba Group in India.