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Flipkart and Snapdeal Merger No More

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Flipkart and Snapdeal Merger No More,Flipkart Snapdeal Merger,snapdeal deal strategy,snapdeal founder,Ratan Tata,SoftBank,Startup Stories,2017 Latest Business News

The much talked about and hyped merger between the two home grown ecommerce rivals Flipkart and Snapdeal has been officially canceled. The Gurgaon based startup wants to pursue an ‘independent path’ and therefore will terminate all other strategic discussions, including the merger talks with Flipkart.

Termed as one of the biggest consolidation in the Indian ecommerce ecosystem, this merger has been the most talked about acquisition for the past five months with countless board meetings and multiple twists. A Snapdeal spokesperson in a statement said Snapdeal has been exploring various strategic options over the past several months and has finally decided to pursue an independent path. The spokesperson also added, Snapdeal has a new and compelling direction Snapdeal 2.0 and have made significant progress towards the ability to execute this by achieving a gross profit this month.

Both the majority shareholders of Flipkart and Snapdeal, Tiger Global and SoftBank had been pushing for this merger. SoftBank, which presently owns more than 47% of Snapdeal, would also invest in the merged entity and buy out one third of Tiger Global’s Flipkart shares. According to various reports, SoftBank might still invest in Flipkart and not continue its association with Snapdeal.

A spokesperson for Softbank said they will remain invested in the vibrant Indian ecommerce space and look forward to the results of the Snapdeal 2.0 strategy. They also added both Masayoshi Son’s and SoftBank’s investment philosophy has always been supporting entrepreneurs and their vision and aspirations. Therefore they respect Snapdeal’s decision to pursue an independent strategy.

Cofounders of Snapdeal Kunal Bahl and Rohit Bansal have been hesitant to merge with Flipkart since the very beginning, fighting SoftBank tooth and nail to prevent the deal. They have also been in talks with senior executives of various firms looking for alternative routes. Reports also mentioned the founders were also in talks with business to business major Infibeam, for a possible merger.

Flipkart’s revised termsheet also held various holdbacks and clauses as protection from all the decisions taken by the Snapdeal board that might have an effect on the company after the merger for a period of two years. The new clauses laid the blame of any wrongdoing on the Snapdeal shareholders and held back a part of the money for the first couple of years. Ratan Tata, Foxconn, Temasek and BlackRock had given their in principal approval for the merger. The approval of 26 other shareholders was required for the deal to go through.

Snapdeal found a little breathing space after the sale of its online digital payments platform FreeCharge to Axis Bank in a Rs. 385 crores all cash deal. The all cash sale provided Snapdeal with the ammunition necessary to remain independent for a couple of more years and retain their control over the online market space. Post the sale of FreeCharge Kunal Bahl, in an email to all employees, termed the acquisition a great outcome calling the second chance an opportunity of a lifetime they must seize. Snapdeal has also been looking to sell their logistic arm Vulcan Express.

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Dunzo Gets Breather as NCLT Rejects Insolvency Petition from Invoice Discounters

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Dunzo

The National Company Law Tribunal (NCLT) Bengaluru bench has dismissed an insolvency plea filed against quick commerce startup Dunzo by its invoice discounters, declaring the petition “not maintainable” after several postponements. This decision offers temporary relief to Dunzo, which has been facing multiple insolvency petitions from various creditors, including Velvin Packaging Solutions and Betterplace Safety Solutions, over unpaid dues.

The invoice discounters alleged that Dunzo had paid only 50% of the required amounts, though the exact sum was not disclosed. Despite ongoing settlement talks, no resolution was reached, and the tribunal noted Dunzo’s delays in responding to creditor petitions. Dunzo continues to grapple with severe liquidity issues, delayed payments, and significant losses—reporting a ₹1,801.8 crore loss in FY23 and owing approximately ₹11.4 crore to major vendors like Google India and Facebook India.

While this NCLT ruling provides Dunzo some breathing room, the company still faces ongoing financial and operational challenges as it works to resolve its outstanding liabilities.

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How a Golden Retriever Became the Heart and Soul of a Hyderabad Startup’s Workplace

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Golden Retriever in workplace

Hyderabad-based startup Harvesting Robotics has won hearts online by appointing a golden retriever named Denver as its Chief Happiness Officer (CHO). Denver, introduced by co-founder Rahul Arepaka in a viral LinkedIn post, has quickly become the star of the office, spreading joy and boosting morale among employees. The company is now officially pet-friendly, a move Arepaka calls their “best decision.”

Denver’s new role has sparked widespread attention, with thousands liking and commenting on the announcement. Many see Denver’s presence as more than just a cute story—it highlights a growing trend of pet-friendly workplaces that prioritize employee well-being and happiness. As companies increasingly focus on holistic wellness, Denver’s appointment shows that sometimes, a wagging tail is the best way to brighten the workday.

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Info Edge Shareholders Approve ₹1,000 Crore Investment in New Venture Fund

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Info Edge

Info Edge (India) Ltd shareholders have overwhelmingly approved an investment of up to ₹1,000 crore in the company’s third venture capital fund, Info Edge Ventures Fund III. The proposal received near-unanimous backing, with 99.9995% of valid votes in favor out of 1,274 participants.

Smartweb Internet Services Ltd, a wholly owned Info Edge subsidiary, will act as sponsor and investment manager for the new fund. This move strengthens Info Edge’s commitment to backing early-stage startups and expanding its footprint in India’s venture capital landscape.

Info Edge has a strong track record as an early investor in leading Indian startups like Zomato and PB Fintech, with combined holdings in these firms valued at ₹31,500 crore ($3.7 billion) as of March 31, 2025.

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