Flipkart is on a roll, First it acquired Myntra and now the new is coming that Myntra Acquires Jabong for $70 million. Yes you heard it right, Myntra acquires Jabong from Global Fashion Group. Though Jabong will continue to work as a separate entity and investors of Jabong Kinnevick and Rocket Internet have exited.
In 2014 Flipkart acquired Myntra for a whooping 2000 crores. The two websites, Myntra and Jabong will have a base of 15 million monthly active users on it’s website. Well that is a huge number of users.
Flipkart CEO and co-founder Binny Bansal said :- “Fashion and lifestyle is one of the biggest drivers of ecommerce growth in India. We have always believed in fashion and lifestyle segment and Myntra’s strong performance has reinforced this faith,”
Ananth Narayanan, CEO, Myntra, said :- “The acquisition of Jabong is a natural step in our journey to be India’s largest fashion platform. We see significant synergies between the two companies especially on brand relationships and consumer experience. We look forward to working with the talented Jabong team to shape the future of fashion and lifestyle ecommerce in India,”.
Jabong was founded in 2012 and Swedish investment firm Kinnevik owns a very large stake in Jabong’s parent Global Fashion Group. It is said that Snapdeal was also in talks to buy GoJavas, Jabong’s former logistics arm.
Lets wish Flipkart, Myntra and Jabong all the best for this deal.