India’s Tata Group will get a good 68-per-cent stake in online grocery startup BigBasket for approximately US$1.31 billion, television set channel ET At this time has reported, citing sources.
The salt-to-software conglomerate has been planning to launch a “very app” which will tie in every its consumer businesses, according to media reports, since it competes against Amazon and Reliance Industries in India’s booming e-commerce market.
Bengaluru-centered BigBasket competes with Walmart-possessed Flipkart and Amazon’s “Clean” service as more buyers stay indoors and decide to shop online through the Covid-19 pandemic.
Tata’s stake will result in an enterprise worth of $1.85 billion for BigBasket, which is backed by Alibaba, ET Now explained.
BigBasket top management, including co-founder Hari Menon, are likely to stay on for three to four years, in line with the report.
Tata Group and BigBasket said that they had no comments on the matter.