GoJavas' Parent Company Quickdel Logistics Sends Rs 300-crore Legal Notice To Snapdeal

Indian ecommerce firm Snapdeal is in trouble again. The firm, which was on sale till a while ago, has sent a jaw-dropped Rs 300-crore legal notice from GoJavas' parent company Quickdel Logistics. Yes, it is the very same GoJavas that had raised investment from Snapdeal.

The notice was sent to Snapdeal founders Kunal Bahl and Rohit Bansal, and Jasper Infotech, which runs Snapdeal. Talking to Times of India (TOI), Anand Rai, who had acquired Snapdeal's stake in GoJavas and merged it with his Pigeon Express, revealed the reason for why the notice was sent. He shared that the notice was served when Snapdeal stopped doing business with GoJavas for the benefit of its logistics arm, Vulcan Express and "stole" some of the confidential business information such as data on employees and service vendors etc.

Snapdeal has decided not to take the chargers lying down and has termed the accusation totally baseless. Snapdeal earlier had a 49 per cent stake in GoJavas, which its founders decided to sell to Rai in a fire sale. The spokesperson from the organisation also revealed that the notice is in direct violation of the `Release and Settlement Agreement' executed by Rai and Quickdel on March 31.

"I've sent them a legal notice worth Rs 300 crore for criminal breach of trust against GoJavas which resulted in erosion of value of Quickdel," Rai said in a statement to TOI.

The notice sent by Rai accuses Snapdeal founders and the company of being in criminal breach of trust and siphoning off money from GoJavas to Vulcan Express.

The notice follows a first information report (FIR) filed by Jasper Infotech with the Delhi Police against the former promoters and directors of Quickdel -Praveen Sinha, Randhir Singh, Ashish Chaudhary and Abhijeet Singh, where it accuses the four of cheating, forgery, criminal breach of trust, conspiracy and criminal misappropriation of funds. The complaint highlighted that Snapdeal was "induced" to buy shares in Quickdel.

GoJavas' Parent Company Quickdel Logistics Sends Rs 300-crore Legal Notice To Snapdeal

Indian ecommerce firm Snapdeal is in trouble again. The firm, which was on sale till a while ago, has sent a jaw-dropped Rs 300-crore legal notice from GoJavas' parent company Quickdel Logistics. Yes, it is the very same GoJavas that had raised investment from Snapdeal.

The notice was sent to Snapdeal founders Kunal Bahl and Rohit Bansal, and Jasper Infotech, which runs Snapdeal. Talking to Times of India (TOI), Anand Rai, who had acquired Snapdeal's stake in GoJavas and merged it with his Pigeon Express, revealed the reason for why the notice was sent. He shared that the notice was served when Snapdeal stopped doing business with GoJavas for the benefit of its logistics arm, Vulcan Express and "stole" some of the confidential business information such as data on employees and service vendors etc.

Snapdeal has decided not to take the chargers lying down and has termed the accusation totally baseless. Snapdeal earlier had a 49 per cent stake in GoJavas, which its founders decided to sell to Rai in a fire sale. The spokesperson from the organisation also revealed that the notice is in direct violation of the `Release and Settlement Agreement' executed by Rai and Quickdel on March 31.

"I've sent them a legal notice worth Rs 300 crore for criminal breach of trust against GoJavas which resulted in erosion of value of Quickdel," Rai said in a statement to TOI.

The notice sent by Rai accuses Snapdeal founders and the company of being in criminal breach of trust and siphoning off money from GoJavas to Vulcan Express.

The notice follows a first information report (FIR) filed by Jasper Infotech with the Delhi Police against the former promoters and directors of Quickdel -Praveen Sinha, Randhir Singh, Ashish Chaudhary and Abhijeet Singh, where it accuses the four of cheating, forgery, criminal breach of trust, conspiracy and criminal misappropriation of funds. The complaint highlighted that Snapdeal was "induced" to buy shares in Quickdel.

Now Snapdeal Rejects Flipkart’s $850 Million Buyout Offer

People were eagerly waiting for the merge of Snapdeal and Flipkart. But talk between the two rivals have taken a different turn as they have hit another hurdle. According to a media reports, Jasper Infotech owned, Snapdeal board has refused the initial offer. E-commerce major, Flipkart has completed the due diligence process and has made an offer of $800-850 million to buy Snapdeal. But Snapdeal’s board felt that offer made by Flipkart undervalued the company.

Commenting on the development, one of the source told PTI, "The first offer has been rejected but talks are still on. It is an ongoing discussion."

Snapdeal's largest investor, SoftBank has been proactively mediating the sale for the past few months.

Earlier this month, IndianWeb2 reported that Flipkart has completed its due diligence and has found everything okay and clean, but Flipkart has still not come back with a final number for the Snapdeal acquisition.

With the time ticking, if the deal doesn’t goes through in the next few days, the flailing Snapdeal’s board would have no choice but to either extend the timeline on the acquisition or start from the scratch again by putting the ecommerce site on the For Sale window again.

The merged entity is expected to give a major push to the current cut throat competition going on between Jeff Bezos’ Amazon and India’s very own homegrown e-commerce leader, Flipkart.

BOB, Times Internet In Talks To Acquire Jasper Infotech's E-wallet FreeCharge

Jasper Infotech-owned digital wallet FreeCharge is in talks with Bank of Baroda (BOB) and Times Internet for an all-cash acquisition. According to a report, the deal size is expected to be in the range of $60 - $75 million. This deal will allow BOB to expand its mobile wallet service, M-Clip which was launched last year and also to get access to millions of young customers FreeCharge has on its platform

Whereas with this deal Times Internet looks to add the wallet service to its online ventures like as Indiatimes Shopping and Gaana to name few.

Prior to this, it was reported that both Paytm and MobiKwik are also in talks for the FreeCharge acquisition. While Paytm has already signed a non-exclusive term sheet with FreeCharge at an expected deal value of $45 – $90 million, MobiKwik deal has still not moved beyond speculation.

Founded in 2010 by Kunal Shah and Sandeep Tandon, FreeCharge was acquired by Snapdeal in April 2015 for $450 million which is currently valued at less than 80%. Not only this, recently it also received an investment of $3.38 million from Jasper Infotech.

Company backed by investors such as Valiant Capital Management, Tybourne Capital Management, and Sequoia Capital had secured total of $177.65 million in six rounds of funding including the funds infused by its parent company.

These acquisition talks have come into picture at a time when parent company Snapdeal is already on the verge of finalizing a merger deal with it rival firm Flipkart.

BOB, Times Internet In Talks To Acquire Jasper Infotech's E-wallet FreeCharge

Jasper Infotech-owned digital wallet FreeCharge is in talks with Bank of Baroda (BOB) and Times Internet for an all-cash acquisition. According to a report, the deal size is expected to be in the range of $60 - $75 million. This deal will allow BOB to expand its mobile wallet service, M-Clip which was launched last year and also to get access to millions of young customers FreeCharge has on its platform

Whereas with this deal Times Internet looks to add the wallet service to its online ventures like as Indiatimes Shopping and Gaana to name few.

Prior to this, it was reported that both Paytm and MobiKwik are also in talks for the FreeCharge acquisition. While Paytm has already signed a non-exclusive term sheet with FreeCharge at an expected deal value of $45 – $90 million, MobiKwik deal has still not moved beyond speculation.

Founded in 2010 by Kunal Shah and Sandeep Tandon, FreeCharge was acquired by Snapdeal in April 2015 for $450 million which is currently valued at less than 80%. Not only this, recently it also received an investment of $3.38 million from Jasper Infotech.

Company backed by investors such as Valiant Capital Management, Tybourne Capital Management, and Sequoia Capital had secured total of $177.65 million in six rounds of funding including the funds infused by its parent company.

These acquisition talks have come into picture at a time when parent company Snapdeal is already on the verge of finalizing a merger deal with it rival firm Flipkart.

Now Snapdeal to setup technology incubator in India

Jasper Infotech, company which runs SnapDeal.com, is in the middle of the process of opening its own mobile-focused technology incubator. Through this incubator, the company is looking forward to offer a great array of services so as to fulfill its goal of grabbing the top slot in India’s super competitive ecommerce market. Jasper Infotech is the same company which owns and operates Snapdeal.com, India’s largest online marketplace.

According to a Senior Executive at Snapdeal, the incubator will foster early stage startups working in the mobile technology space. The incubator is expected to become fully functional from this financial year.

According to Abhishek Kumar, who is the head, corporate development, at Snapdeal, the company is still in the middle of the process of structuring the incubator and the plans are in place. The company will start looking for early stage ventures once they have an interface for it. The interface will be completely separate from Snapdeal.com. Kumar recently joined Snapdeal in July and is expected to head the company’s M&A initiatives.

Snapdeal has plans of incubating eight ventures for two months per batch. The company will form a separate team to run the initiative.

“We are now almost a mobile first country, and going forward, will be a mobile-only economy. Ana increasing amount of content and transactions are happening on hand-held device..That’s the ecosystem we are targeting” said Kumar.

Snapdeal is also planning on providing seed funding to the ventures it incubates, while taking an equity stake in them. The seed funding will help the companies cover up their expenses. Snapdeal might partner with other mobile companies or incubators for this initiative.

This move from Jasper Infotech has come at a time when almost all the country’s internet majors are working towards tapping the 900 million mobile subscribers of the country, which is one of the largest in the world. Every company is working hard so as to distinguish itself from the crowd and emerge as the leader of the fastest growing ecommerce market all around the globe.

The incubator can also act as a seeder for Snapdeal.com as it plans to make more acquisitions in the mobile space. The company is currently targeting four acquisitions in this financial year centered around data analytics space and mobile technology.

Now Snapdeal to setup technology incubator in India

Jasper Infotech, company which runs SnapDeal.com, is in the middle of the process of opening its own mobile-focused technology incubator. Through this incubator, the company is looking forward to offer a great array of services so as to fulfill its goal of grabbing the top slot in India’s super competitive ecommerce market. Jasper Infotech is the same company which owns and operates Snapdeal.com, India’s largest online marketplace.

According to a Senior Executive at Snapdeal, the incubator will foster early stage startups working in the mobile technology space. The incubator is expected to become fully functional from this financial year.

According to Abhishek Kumar, who is the head, corporate development, at Snapdeal, the company is still in the middle of the process of structuring the incubator and the plans are in place. The company will start looking for early stage ventures once they have an interface for it. The interface will be completely separate from Snapdeal.com. Kumar recently joined Snapdeal in July and is expected to head the company’s M&A initiatives.

Snapdeal has plans of incubating eight ventures for two months per batch. The company will form a separate team to run the initiative.

“We are now almost a mobile first country, and going forward, will be a mobile-only economy. Ana increasing amount of content and transactions are happening on hand-held device..That’s the ecosystem we are targeting” said Kumar.

Snapdeal is also planning on providing seed funding to the ventures it incubates, while taking an equity stake in them. The seed funding will help the companies cover up their expenses. Snapdeal might partner with other mobile companies or incubators for this initiative.

This move from Jasper Infotech has come at a time when almost all the country’s internet majors are working towards tapping the 900 million mobile subscribers of the country, which is one of the largest in the world. Every company is working hard so as to distinguish itself from the crowd and emerge as the leader of the fastest growing ecommerce market all around the globe.

The incubator can also act as a seeder for Snapdeal.com as it plans to make more acquisitions in the mobile space. The company is currently targeting four acquisitions in this financial year centered around data analytics space and mobile technology.