Here comes the another news from Snapdeal House. If sources to be believed, the logistics arm of online marketplace Snapdeal’s Vulcan Express is soon going to acquired. According to ET, express distribution and supply-chain companies, Gati, Peepul Capital and TVS Logistics have shown their interest to acquire Vulcan Express.
The report further state that Snapdeal is expecting Vulcan Express to fetch Rs 90-120 crore from the acquisition which could take place over the next 60 days.
If everything goes well, this sale will provide much-needed capital relief to Snapdeal owners while they continue to negotiate its own sale to rival e-commerce company Flipkart.
Jason Kothari, chief strategy and investment officer at Snapdeal is spearheading the transaction on behalf of the online marketplace, with Alvarez and Marsal advising the company. If sources to be believed, the potential acquisition of Vulcan Express may be routed by Warburg Pincus, a global private equity major through one of its portfolio companies in India.
Homegrown e-commerce giant, Flipkart, which recently offered $800-900 million for Snapdeal, an offer that was rejected by the compnay board last week, is also expected to separately bid for the logistics unit. However, the Bengaluru-headquartered domestic online retail giant is expected to come back with a revised offer for Snapdeal, close the transaction first, before it begins negotiations for Vulcan Express.
This also comes after Axis Bank has emerged as one of the frontrunners to acquire the digital payments platform owned by Snapdeal, FreeCharge.
The report further state that Snapdeal is expecting Vulcan Express to fetch Rs 90-120 crore from the acquisition which could take place over the next 60 days.
If everything goes well, this sale will provide much-needed capital relief to Snapdeal owners while they continue to negotiate its own sale to rival e-commerce company Flipkart.
Jason Kothari, chief strategy and investment officer at Snapdeal is spearheading the transaction on behalf of the online marketplace, with Alvarez and Marsal advising the company. If sources to be believed, the potential acquisition of Vulcan Express may be routed by Warburg Pincus, a global private equity major through one of its portfolio companies in India.
Homegrown e-commerce giant, Flipkart, which recently offered $800-900 million for Snapdeal, an offer that was rejected by the compnay board last week, is also expected to separately bid for the logistics unit. However, the Bengaluru-headquartered domestic online retail giant is expected to come back with a revised offer for Snapdeal, close the transaction first, before it begins negotiations for Vulcan Express.
This also comes after Axis Bank has emerged as one of the frontrunners to acquire the digital payments platform owned by Snapdeal, FreeCharge.
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