Jabong in Myntra’s bag for $70 mn

By: | Updated: July 29, 2016 3:36 PM

Jabong should add to Myntra’s style quotient, analysts said, adding that it would certainly help Flipkart fight Amazon.

The Rocket Internet Group’s flagship company in India had been on the block for a while now, with others like Snapdeal and the Future Group also eyeing it (PTI)The Rocket Internet Group’s flagship company in India had been on the block for a while now, with others like Snapdeal and the Future Group also eyeing it (PTI)

In a deal that should add some verve to Flipkart’s fashion play, the
e-retailer’s portal Myntra said on Tuesday it was buying out rival Jabong for $70 million in an all-cash deal, reports fe Bureau in Bengaluru.

The Rocket Internet Group’s flagship company in India had been on the block for a while now, with others like Snapdeal and the Future Group also eyeing it.

Jabong should add to Myntra’s style quotient, analysts said, adding that it would certainly help Flipkart fight Amazon.

Sandy Shen, research director at Gartner, said the move would not just help Flipkart further penetrate the red-hot category but also hold its leadership position and keep Amazon at bay.

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