Close on the heels of Flipkart’s massive round of funding, Snapdeal looks to have raised $75 million in a round of funding from Japan-based Softbank.
MediaNama reports that the deal is done, though the company itself has not confirmed anything yet. Snapdeal didn’t confirm the deal and told the website, “There’s a lot of inbound investor interest given our growth trajectory, and there are ongoing discussions with investors.”
Another round of funding for Snapdeal
Flipkart, Snapdeal’s biggest Indian rival raised $200 million last month, which is the biggest fund raising yet by an Indian e-commerce company. Snapdeal reported having more than 20 million registered users in the quarter ending June, with a MAU count of 14-15 million. The company’s most recent funding comes after another $75 million round from investors in June of this year. Overall, Snapdeal has raised a total of $202 million which includes an investment of $40 million in July 2011, which followed a $12 million round from January of that year. In comparison, Flipkart has raised $381 million investment across five different rounds, a figure boosted greatly by the most recent funding.
Flipkart and Snapdeal both secured their funding after the entry of Amazon in India. The US-based company recently started selling computers and accessories on Amazon.in, after first launching with books and music, followed by smartphones and tablets. Snapdeal’s funding means the Indian e-commerce market has become a three-horse race, though several bit-part players and startups are trailing the trio.