Snapdeal-Flipkart merger called off

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Snapdeal has ended merger talks with Flipkart. The company reportedly said that it needs to pursue an “independent path”.

Snapdeal was in talks with Flipkart for an estimated $900-950 mn deal.

Snapdeal expects to be financially self-sustainable by selling certain non-core assets, stated media reports.

Last week, Axis Bank announced that it has agreed to buy FreeCharge from Snapdeal for Rs. 385 crore ($60.04 million).

Japan’s Softbank, the major investor in Snapdeal stated that it respects the company’s decision to pursue an independent strategy.

SoftBank currently holds nearly 35% stake in Snapdeal.

“We will be continuing the Snapdeal journey and will pursue a new direction — Snapdeal 2.0,”Snapdeal’s co-founders Kunal Bahl and Rohit Bansal reportedly said to the employees.