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India: CCI approves Flipkart’s acquisition of eBay India

 |  June 18, 2017

The Competition Commission of India (CCI) has given approval for e-commerce major Filpkart’s acquisition of eBay India. It is an agreement under which the two will jointly pursue cross-border trade opportunities to make Ebay’s global inventory accessible to more Indian consumers. Bangalore based Flipkart will operate the eBay’s business in India.

The fair trade regulator CCI has also given permission for eBay’s subscription of convertible preference shares (CCPS) issued by Flipkart, said news agency quoting CCI. As per the agreement, Flipkart will also purchase 100 per cent share capital of eBay India. In exchange for an equity stake in Flipkart, Ebay will make a $500 million cash investment and sell its Ebay.in business to Flipkart.

“This partnership between Flipkart and Ebay is the coming together of two pioneering innovators who have disrupted commerce by applying technology. It bodes well for Indian and global customers, sellers and the wider e-commerce ecosystem. Ebay.in has built a strong presence in India over the years and we hope to take it to greater heights as part of the Flipkart group,” Binny Bansal, Group CEO, Flipkart had said earlier.

Full Content: The Tech Portal

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