Indian e-commerce company Snapdeal after having struggled to raised funds is in talks with Paytm-E-Commerce and Flipkart India for a potential sale as per LiveMint reports.
However, the talks are still in its initial stages, Japan’s SoftBank which has invested roughly $900 million of the $2 billion or so raised by Snapdeal, is leading the sale talks. Reports suggest that SoftBank is expected to invest up to $50 million as bridge money till a deal is closed.
The probability of alliance between Snapdeal and Paytm– which is backed by Alibaba is higher said sources.
Snapdeal said last month that it would lay off 600 employees and its founders would forego their salaries. However, a Snapdeal spokesperson denied the report of sale talks with Paytm and Flipkart, according to the newspaper.
“Your information is incorrect and without basis. We are making decisive progress in our journey towards profitability and all our efforts are aligned in this direction”, the spokesperson said.