India’s Infibeam terminates deal to buy Snapdeal unit Unicommerce

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Infibeam Avenues Ltd, India’s first listed e-commerce entity, on Friday said it has terminated the deal to acquire Unicommerce eSolutions Pvt Ltd, a subsidiary of e-commerce platform Snapdeal.

Infibeam had entered into a share purchase agreement (SPA) with Jasper Infotech to acquire 100 per cent stake in Unicommerce for about Rs 120 crore ($17 million at current exchange rate) in May this year. Unicommerce is a fully owned subsidiary of Jasper Infotech, which owns Snapdeal.

Japan’s SoftBank-backed Snapdeal had acquired Unicommerce in 2015 for an undisclosed amount.

“The SPA has been terminated.as the conditions precedent were not fulfilled within the stipulated time period,” Infibeam said in a BSE filing.

Founded in 2012 by Ankit Pruthi, Karun Singla and Vibhu Garg, Unicommerce provides e-commerce enablement software for warehouse management and omni-channel services. It claims to have over 10,000 sellers, brands and online retailers as its clients.

Through the Unicommerce acquisition, Infibeam had planned to boost its e-commerce enablement capabilities and expand product offerings for existing clients.

According to the May filing, Infibeam was to issue optionally convertible debentures on preferential basis to Jasper Infotech valued up to Rs 120 crore, subject to shareholders’ approval. The filing further said that Unicommerce eSolutions had a net worth of Rs 24.63 crore and turnover of Rs 20.27 crore as on March 31, 2018.

Snapdeal had been looking to sell Unicommerce since last year. It also offloaded its logistics subsidiary Vulcan Express to Future Group for Rs 35 crore in January this year. In July last year, Snapdeal had sold its payment wallet Freecharge to Axis Bank for Rs 385 crore.

Infibeam.com started as an automobile portal in 2007, but later turned into an online retailer. Apart from operating its own marketplace, Infibeam.com, the company offers web services solutions through other platforms including BuildaBazaar, digital payments unit CCAvenue, and logistics arm Shipdroid to merchants in India and abroad.

A few days ago, Infibeam also entered into an agreement to sell wholly-owned unit NSI Infinium Global Pvt Ltd, which operates Infibeam.com, to Suvidhaa Infoserve Pvt Ltd, a Mumbai-based fintech company that counts Shapoorji Pallonji Mistry among its investors.

Earlier this month, Infibeam invested Rs 6 crore for acquisition of 14,400 equity shares in Mumbai-based Instant Global Paytech Private Ltd (IGPL).

Also Read:

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Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.