The panel of Snapdeal (Jasper Infotech), which operates and owns FreeCharge, has decided to trade the digital transaction platform to Axis Bank. Axis bank is the third largest private sector lender of India. This data was provided by two sources having deep knowledge of the matter.
The end of the deal symbolizes a conclusion to a 2-year long procedure through which Jasper Infotech has also looked to lift fresh capital for the transactions provider that contends with Paytm, the market leader. Jasper Infotech also operates and owns Snapdeal, the under pressure online marketplace.
The offered deal will esteem FreeCharge at Rs 385 Crore to Rs 390 Crore, claimed the above mentioned two sources having deep knowledge of the matter. A steep sink from Rs 2,400 Crore that Jasper Infotech gave to obtain the company in 2015 was the largest acquirement in the startup sector of India.
“The formal declaration of the sale might be made as early as this week,” the sources claimed to the media. People having knowledge of the current developments in Jasper Infotech claimed to the media that the board of the Delhi-based firm is also anticipated to endorse the sale of Snapdeal to competitor Flipkart, over the period of the coming few days.
The largest online commerce company in the country, Flipkart, has made a modified bid for Snapdeal, expected at $850 Million. This was reported by the media earlier this month. Media reports, this week, claimed that the Jasper Infotech panel had accepted the proposal. On the other hand, an official endorsement of the deal had still not been carried out the Board.
Earlier, as per the sources, Amazon too made an offer. The offer by Amazon was up to $70–80 Million (Rs 466–532 Crore). A term sheet was been agreed by the Behemoth, the Seattle-headquartered e-commerce, and Jasper Infotech, which operates and owns both FreeCharge and Snapdeal, last week. The new set of developments come at a time after the third-largest private sector lender of the country, Axis Bank, came out as one of the interested entities to purchase FreeCharge for almost $60–65 Million, as reported by the media previously.