According to reports, the e-commerce giant Amazon.com, Inc. is in talks with lifestyle e-tailer Jabong.com to takeover. If it is materialized the deal would be worth $1.1-1.2 billion, the biggest acquisition in the history of the Indian e-commerce space.
The report suggests, the meeting took place very recently and it has not even been a week. However, it is not know how the deal would be planned, as Jabong is inventory based retail platform and FDI is not allowed in that space. Analysts say, if the deal happens, it would attract rigorous regulatory scrutiny.
In the internet retail space, fashion is the biggest category and it needs to pursue inorganic growth to expand in this industry. May be Jabong would be managed a separate entity in the post acquisition. However, there is no confirmation from the Jabong management or Amazon team, the report suggested. The rumours of the talks between Amazon and Jabong have been floating around for the last couple of months.
The report suggests, the meeting took place very recently and it has not even been a week. However, it is not know how the deal would be planned, as Jabong is inventory based retail platform and FDI is not allowed in that space. Analysts say, if the deal happens, it would attract rigorous regulatory scrutiny.
In the internet retail space, fashion is the biggest category and it needs to pursue inorganic growth to expand in this industry. May be Jabong would be managed a separate entity in the post acquisition. However, there is no confirmation from the Jabong management or Amazon team, the report suggested. The rumours of the talks between Amazon and Jabong have been floating around for the last couple of months.
