Unicorn Startups Backed by Ratan Tata in Their Early Years

Ratan Tata, the former chairman of Tata Sons, has been a significant figure in the Indian startup ecosystem. His investments, particularly in unicorn startups, have illustrated his commitment to nurturing innovation and entrepreneurship in India.

Over the years, he had became a beacon for budding entrepreneurs, offering not just financial support but also mentorship and guidance. This article discusses the various aspects of Ratan Tata's investment ventures into unicorn startups and their broader impact on the Indian economy.

Origin of Ratan Tata's Investments

Ratan Tata's foray into venture capital began during his tenure as chairman of the Tata Group. Seeing the potential for tech and innovation in India, he started investing in promising startups. His investments were motivated by a desire to support young entrepreneurs and to drive technological advancement in the country. The establishment of the Tata Trusts facilitated his ability to make these investments, providing a structured approach to funding dynamic new ventures.

Tata has invested in over 50 startups through his personal firm, RNT Associates, and UC-RNT, a fund he established with the University of California. He has also provided mentorship and insights to the startups he has invested in.

Unicorn startups, defined as privately held companies valued at over $1 billion, play a crucial role in India's economic landscape. They drive innovation, create jobs, and attract foreign investment, significantly contributing to the GDP. The rapid growth of unicorns in India has also inspired a culture of entrepreneurship, encouraging more individuals to pursue their business ideas. Ratan Tata's involvement has not only validated these startups but has also highlighted their potential in the global marketplace.

List of Unicorn Startups Backed by Ratan Tata

1. Ola Cabs: One of India's leading ride-hailing services.

Ratan Tata invested in Ola Cabs in 2015. His relationship with Ola began earlier, in 2008, when he was the guest speaker at Bhavish Aggarwal's (Ola's co-founder) convocation at IIT Bombay. Inspired by Tata's words on serving the country, Aggarwal reached out to Tata in 2015 to seek investment for Ola.

Tata not only invested in Ola but also took a personal interest in the company's journey. He spent a full day with Ola's team in Bengaluru in 2016, showing immense curiosity and grace.

2. Ola Electric: A major player in the electric vehicle market.

Ratan Tata invested in Ola Electric in 2017. His investment and guidance were pivotal in the establishment of Ola Electric, which focuses on electric vehicles (EVs).

Ratan Tata's passion for EVs and his support played a significant role in inspiring Ola Electric's founder, Bhavish Aggarwal, to venture into the electric vehicle space.

It's a great example of how mentorship and belief in innovation can shape the success of a startup.

3. Paytm: A leading digital payments and financial services company.

Ratan Tata invested in Paytm in 2015. His investment came at a crucial time when Paytm was transitioning from a mobile recharge platform to a comprehensive digital payments and financial services company.

Ratan Tata's support not only provided much-needed capital but also added credibility and visibility to Paytm, helping it grow into one of India's leading fintech companies.

4. Lenskart: An online retailer of eyewear and accessories.

Ratan Tata invested in Lenskart in April 2016. His investment was part of his broader strategy to support innovative startups in India. Tata's backing not only provided crucial capital but also added significant credibility to Lenskart, helping it grow into one of the leading online eyewear retailers in the country.

5. Urban Company: A platform for home services.

Ratan Tata invested in Urban Company in 2015. His investment came at a crucial time when Urban Company was expanding its platform for local services, such as home cleaning, beauty treatments, and handyman services.

Ratan Tata's support not only provided much-needed capital but also added significant credibility to Urban Company, helping it grow into one of the leading service platforms in India.

6. Upstox: A financial services platform for trading and investments.

Ratan Tata invested in Upstox in 2016. He initially acquired a 1.33% stake in the company.

Upstox, founded in 2009 by Ravi Kumar, Raghu Kumar, Shrini Viswanath, and Kavitha Subramanian, is a discount brokerage platform. Tata's investment has been highly successful, with Upstox's recent valuation at $3.5 billion, delivering a return of around 23,000% on his initial investment.

Last week, Upstox bought back 5% of Tata's stake in a buyback deal, providing Tata with a 10x return on his investment while he still retains 95% of his original stake.

7. FirstCry: An e-commerce platform for baby products.

Ratan Tata invested in FirstCry in 2016. He acquired a 0.02% stake in Brainbees Solutions, the parent company of FirstCry, for Rs 66 lakh. His investment has been highly successful, and FirstCry has grown into one of India's leading online retailers for baby products.

8. CarDekho: A leading players in India's used car retail industry. 

Ratan Tata made a strategic investment in CarDekho in 2015. In that year, this marked his fourth venture into the Indian startup ecosystem, following his previous investments in Snapdeal, BlueStone, and UrbanLadder. While the exact financial details of the investment were kept confidential, it was a significant endorsement of CarDekho's potential and the burgeoning Indian automotive market.

In 2017, CarDekho achieved the unicorn status, following a significant funding round. The company's rapid growth and success in the Indian automotive market contributed to its high valuation.

Ratan Tata's investment not only provided a much-needed financial boost but also lent credibility and prestige to the company. His involvement attracted further attention from other investors and customers, contributing to CarDekho's rapid growth and expansion.

9. Moglix: India's leading online store for industrial tools & equipment.

Ratan Tata invested in Moglix in 2016, recognizing the potential to digitize and streamline the B2B supply chain in India. His investment was part of a Series E funding round that raised $120 million, valuing Moglix at $1 billion. This made Moglix one of the 13 Indian startups to achieve unicorn status in 2021.

The company was the first industrial B2B commerce platform in the manufacturing space in India to become a unicorn.

Tracxn: A data analytics and research platform for startups.

Ratan Tata invested in Tracxn in 2015. His investment was part of his broader strategy to support innovative startups in India. Tracxn, a data analytics and research platform for startups, has benefited greatly from Tata's support and guidance. It is to be noted that Tracxn is not yet a unicorn startup. 

Key Sectors of Investment

Ratan Tata has shown a keen interest in several key sectors through his startup investments. Predominantly, he has focused on technology, e-commerce, and consumer services. These sectors are integral to India's digital transformation and economic growth.

By investing in these areas, he supported startups that address contemporary challenges faced by consumers and businesses alike.

Impact of Ratan Tata’s Backing on Startup Success

The backing of Ratan Tata has proven to be a game changer for many startups. His reputation and industry connections provide a level of credibility that can significantly enhance a startup's visibility. Startups associated with Tata benefit from his extensive experience and networks, which facilitates partnerships and market access. This mentorship often translates into accelerated growth and broader operational strategies, setting them up for greater success.

World’s Most Influential Business Consultant Dr. Ram Charan Joins the Advisory Board of Repos Energy, a Ratan Tata Backed E-Commerce of Energy Co.

World-renowned business consultant, author, speaker and celebrated management expert Ram Charan has joined the Advisory board of Repos, a pioneer of the Doorstep Fuel Delivery industry in India. Backed by industry titan Ratan Tata, Repos is on a mission to help the world move toward a carbon-neutral future with the establishment of E-Commerce of energy.

Charan will advise the company on strategic direction, flawless execution, global expansion and corporate governance. He will counsel founders Chetan & Aditi Walunj and Co-founder Aparajit Subramaniam as they create an ecosystem that facilitates the delivery of all forms of energy to the doorstep of end consumers with the help of technology. By making new and old fuels available to end users with just a click, and delivering these through Mobile Fuel Stations, Repos Energy will help the world use fuel more sustainably and make new clean fuels available much faster!

Dr Ram Charan

With over 40 years of distinguished service as a consultant to global organizations like Toyota, GE, Bank of America, Honeywell, Aditya Birla Group, Novartis, Fast Retailing (Uniqlo), and Matrix, Ram Charan is revered across the world for his strategic leadership and insight. He has the unique ability to cut through the complexity of running a business in today’s rapidly evolving environment to uncover the core business problem. He has coached several dozen leaders who went on to become CEOs, and has worked closely with prominent Fortune 100 CEOs like Jack Welch of GE, Dick Harrington of Thompson Corp and Ivan Seidenberg of Verizon. Fortune magazine has called him "the most influential consultant alive." Charan has authored more than 30 books since 1998 that have sold over 4 million copies in more than a dozen languages. He also has written for publications including Harvard Business Review, Fortune, BusinessWeek, Time, Chief Executive and USA TODAY.

As Repos continues to bridge the gap between the demand and supply of clean energy, Ram Charan will guide the next phase of growth for the business and advise the founders on scaling globally.

Dr Ram Charan with Repos Team

“I am very pleased to join the advisory board at Repos. They have an innovative new idea that will create huge convenience for customers and transform the distribution of diesel, liquefied natural gas, hydrogen and many other commodities. The convenience comes from the application of digitization, artificial intelligence and building a database platform where the accumulation of data overtime provides invaluable insights to improve efficiency, ROI and utilization of assets” said Ram Charan at the Repos factory in Chakan, Maharashtra.

“Over and above a good business solution, Repos will be helpful in transforming the sector and infrastructure in India, that is a high priority for the country by Prime Minister Narendra Modi and important to me as well. The challenge is now to help Repos scale and continue to innovate with the use of artificial intelligence and machine learning. I look forward to working with the management team at Repos” he added.

“We are incredibly honoured and delighted to welcome Mr. Ram Charan to our advisory board at Repos. He is an iconic business consultant with a rich legacy of helping companies solve problems strategically to scale up and expand. As we move into our next phase of growth, the support and advice of Mr. Charan will be invaluable in helping us reach our goals. We are deeply grateful for his support and look forward to learning from him” said Chetan Walunj, Founder and CEO, Repos Energy.

Aditi Bhosale Walunj, Founder and CVO, Repos Energy, added “Mr. Ram Charan’s business acumen and strategic leadership is exemplary. It is a huge privilege to have him join our advisory board. We are confident that with his expertise and guidance, Repos will scale new heights as we work towards our goal of transforming energy distribution and helping the world move towards a carbon neutral future.”

About Repos:

Repos was founded in 2017 by Aditi Bhosale Walunj and Chetan Walunj with a vision to Transform Energy Distribution across the world and help the world make the transition towards a carbon neutral future. Repos is on a mission to make all forms of energy available at the doorsteps of end consumers by bridging the gap between supply and demand using tech enabled innovations. As of now, Repos employs more than 250 people, it has built a community of 2000+ partners and is currently operational in 220+ cities across India. Through the Repos platform, more than 5 Crore Litres of fuel has already been distributed, which has resulted in carbon emissions reduction equivalent to 14.85 million Kgs.

Kindly Visit https://reposenergy.com/ for information.

Ratan Tata-backed Bluestone Set to Tap the Diverse Taste for Jewellery in the Capital; Launches Four New Stores in Delhi-NCR

Located in Delhi, NCR-Noida & Gurugram, the stores collectively boast of over 3320 sq ft of shop floor for a unique jewellery shopping experience

BlueStone, India’s leading omni-channel fine jewellery destination, announces the launch of four resplendent retail outlets in Delhi - NCR, taking the total count of their stores in this region to 18. The newly opened outlets are located at some of the most prominent locations & malls of the city, which are, East of Kailash, Kamla Nagar, Gaur City Mall and Ambience Mall.

The store at East of Kailash is located in the city’s heartland, with a mix of prominent residential areas and buzzing shopping avenues, for fashion and jewellery. The Kamla Nagar store in North Delhi is placed amidst popular eateries and restaurants, alongside several fashion and jewellery showrooms, while The Gaur City Mall and Ambience Mall are few of the many popular ones located in Noida & Gurugram region respectively. Both the malls have famous clothing, jewellery & accessory brands for women, men & children, making them convenient and popular shopping destinations for our shoppers. The stores at Gaur City and Kamla Nagar, are spread across an area of about 500 sq ft, while the Ambience Mall and East of Kailash boutiques boast a lavish 1000 sq ft shop floor.

 

The company has seen an interesting cross-channel behavior where a typical user browses their website for at least 2-3 weeks before visiting a store. 60-70% of the customers tend to shortlist a product first on the website before visiting an exclusive brand store which completes the shopping experience by enabling try-ons and checkout. For every one customer who was buying online on BlueStone, surveys revealed that there were 20 others who loved the designs but would require the comfort of a store to make a purchase. Therefore, by having these experiential stores, BlueStone expects to provide its customers a truly omni-channel experience.

All the four new stores house an exclusive collection of 450+ designs individually, handpicked by the merchandise teams across categories such as, necklaces, pendants, rings, earrings, bangles, solitaires, as well as jewellery for men and kids. The jewellery comes with the highest level of certification- hallmarked with HUID from BIS approved labs, IGI, GIA & GSL certifications as well- for gold & diamonds to create their exquisite designs with the top-notch in-house craftsmanship. A key highlight of the store is the extravagant 'Solitaire Lounge', which provides a one-of-a-kind experience for solitaire lovers with assistance from experts and a tech-driven platform to help shoppers pick the perfect designs.

Speaking on the launch, Sudeep Nagar, Chief Operating Officer BlueStone, said, “Jewellery has been an integral part of Indian culture for millennia. The vast geographical landscape of Delhi-NCR has distinct groups of people endorsing distinct styles of jewellery, for fashion as well as cultural significance. Our existing stores in Delhi-NCR are extremely loved, which gave us the confidence to launch 4 more stores in a short span. With these launches, we now have a total of 84 stores spread across the country, giving a strong impetus to our omni-channel retail model which is revolutionizing jewellery buying."

About BlueStone

Established in 2011, BlueStone has revolutionized the precious jewellery segment in India. BlueStone ships to over 19,000 pin codes across the country, and has over 80 exclusive brand stores across 25+ cities, networked with cutting edge custom technology for a seamless omni-channel consumer experience. The award-winning team adds almost 30 new collections every year and its customers have the flexibility to choose from a whopping catalogue of 8400+ designs spread across 100+ Collections, which they may “Try-At-Home” and then buy.

N. Chandrasekaran Following the Path of Ratan Tata by Fast Buying of Digital Companies

Ratan Tata is known face of philanthropy and also known for his avid interest in early-stage startup funding. The way former chairman of Tata Sons has acquired the UK's Corus, Singapore's Nate Steel, tea giant Tetley and Jaguar Land-Rover two decades ago, the entire world industry was in turmoil. In the same way his successor N. Chandrasekaran seems to be making tremendous inroads into the digital business. 

Natarajan Chandrasekaran is chairman of Tata Sons, the holding company of Tata Group.

He bought a major stake in online grocer BigBasket in late May, then took online fitness company CureFit and now online pharma company 1MG in this month. Now it is being told that Tata Group is going to buy online delivery company Dunzo.

Ratan Tata had established the Tata group globally, so now Chandrasekaran is going to make a splash in the digital business. Thanks to these companies, the Tata group can move towards becoming a super app.

At present, there are only a few super apps, which interfere with shopping, food, grocery, service etc. But the way Tata is planning to get a grip on this digital business, the day will not be far when Ali-Pay of China, Grab, and Gojek of Indonesia are left behind. Grab also plans to acquire or merge a larger project worth $40 billion by the end of this year. The owner of WeChat had a valuation of around $1 trillion earlier this year, which has swelled to nearly $700 billion. 

At the same time, Tata Consultancy Services (TCS), Tata's largest company, has a market capitalization of $170 billion.

Ratan Tata Receives Lifetime Honour for Global Excellence

The Indo-American Chamber of Commerce (IACC) bestowed a lifetime achievement award to Indian business icon Ratan Tata, as part of their recent global leadership awards. Tata, who grew the revenues for India's largest conglomerate, The Tata Group to nearly a $100 billion by 2011-12, remains an influential industrialist, philanthropist and humanitarian to the day. 

  

The IACC leadership bestowed the IACC Lifetime and Global Excellence Awards to Tata at a closed-door meeting, owing to ongoing COVID crisis. Tata, who has accepted fewer awards over the last few years, received the honour as he believed that these awards inspire future global leaders and strengthen bilateral economic ties between India and the USA. They do so by fostering a sense of achievement and cooperation and highlighting leaders and go-getters from both Indian and American businesses.

"We believe Mr Tata was the first Indian to recognise and tap the potential of the US market. Under his leadership, the TATA group had transformed into the largest Indian employer in the USA in a matter of three decades", said Naushad Panjwani, Regional President, West India Council, IACC.

The Group is deeply entrenched in multiple industries globally, from heavy steel (TATA Steel), automobiles (TATA Motors), ITES (TATA Consultancy Services), among others. After he retired from the helm of the Group, Ratan Tata remains an influential mentor to multiple Indian start-ups.

Mr Tata is also known for a sense of philanthropy, which he built into all businesses within the Tata Group and his individual pursuits. The Group has established many research, educational and cultural institutions. For these endeavours, it has also received the Carnegie Medal of Philanthropy.

Meanwhile, the man has actively supported endeavours in medicine, education and rural development. Specifically, he is acknowledged for his work with the Faculty of Engineering at the University of New South Wales to develop capacitive de-ionisation to improve the quality of water in areas facing challenges in the water supply.

He has been acknowledged as Padma Bhushan and Padma Vibhushan by the Indian government, alongside knighthood and similar honours from the British Empire, Japan and France. He also holds honorary citizenship in Singapore and has been acknowledged for lifetime contributions by the Indian National Academy of Engineering and Ernst & Young.

Ratan Tata Calls for Stopping Online Hate, Bullying

Veteran industrialist Ratan Tata on Sunday called for stopping online hatred and bullying and instead supporting each other in what has been a "year full of challenges" for everyone.

In a post on social media platform Instagram, Tata said the online community is being hurtful to each other and bringing each other down.

"This year has been full of challenges for everyone, on some level or the other. I see online community being hurtful to each other, bringing each other down, harshly and with quick judgements," the Chairman Emeritus of the Tata group said.

"I believe this year specially calls for all of us to be unified and helpful and is not the time to pull each other down," he added.

Urging for more sensitivity towards each other, he reiterated the need for "more of kindness and more of understanding and patience than what one sees today."

Tata said while his "presence online is limited, but I truly hope it will evolve into a place of empathy and support for everyone, no matter what your cause, rather than hate and bullying." PTI RKL

A 17-Year-Old Kid's Pharma Startup Grabs Funding from Ratan Tata

Ratan Tata, who has pumped in hundreds of crores of rupees into start-ups since his retirement from the Tata Group, has invested an undisclosed amount in a 17-year-old kid's pharma start-up Generic Aadhaar, in his personal capacity.

Generic Aadhaar was founded by the Thane kid, Arjun Deshpande, in April 2019, when he was 16. It supplies quality generic drugs from reputed manufacturers at up to 80 per cent lesser cost and other medicines 20-30 per cent cheaper.



The boy, an alumni of DAV Public School, Thane, began his entrepreneurial journey with the aim of bringing affordable medicines to the poor, a statement issued by his PR agency said on Thursday.

It did not disclose how much Tata has invested.

The chairman emeritus of Tata Sons has so far invested in over a dozen start-ups since he retired from the group in December 2012 and all his investments are routed through his investment company RNT Associates. Some of his investments include Ola, Paytm, Snapdeal, CureFit, Urban Ladder and Avanti Finance.

Generic Aadhaar sources generic drugs directly from manufacturers and sells it to retailers, eliminating 16-20 per cent wholesaler margins.

The start-up boasts of an annual revenue of Rs 6 crore and is looking at a revenue of Rs 150-200 crore in the next three years, the statement said. It also claimed to have employed about 55 persons, including pharmacists, IT engineers and marketing professionals.

Deshpande plans to partner with 1,000 pharmacies on a franchisee-based model and expand his reach to Gujarat, Tamil Nadu, Andhra, Delhi, Goa and Rajasthan.

Generic Aadhaar will provide all the support to the unorganised sector by bringing the right technology, IT infrastructure and branding to the forefront.

"Our business model gives us an edge over others as we aim to bring affordable healthcare to millions. Our mission is to provide senior citizens and pensioner the care they deserve by delivering inexpensive medicines," says Deshpande.

Currently, it supplies diabetes and hypertension drugs but will soon start offering cancer drugs also at rates lower than the market price and has also tied up with four WHO-GMP certified manufacturers at Palghar, Ahmedabad, Puducherry and Nagpur.

It provides quality and affordable medicines directly from WHO-GMP facility and has tied up with 30 retailers from Mumbai, Pune, Bengaluru and Odisha following a profit-sharing model.

"Tata got impressed with our business plan and decided to be a part of this mission in a personal capacity and help Generic Aadhaar to reach more and more poor people," Arjun Deshpande, founder and chief executive officer of the start-up, said.

Generic Aadhaar steps in to solve this problem as it aims to partner with 1,000 pharmacies on a franchisee-based model in the coming months and expand their reach to markets such as Gujarat, Tamil Nadu, Andhra Pradesh, New Delhi.

Generic Aadhaar supplies diabetes and hypertension drugs but will soon start offering cancer drugs at rates much lower than the market price. PTI BEN HRS

“The Future of India will be Driven by the Young Population”: Ratan Tata

Recently, at the commemoration of the 50th year of Population Foundation of India, eminent industrialist and Tata Group Chairman Emeritus Mr. Ratan Tata highlighted the role of India's youth in accelerating economic growth and the importance of investing in their education, health and well-being.

Speaking at this event, Mr. Tata said, “There is no doubt that the future of India will be driven by the young population of more than 370 million people. If we are to meet our commitments to achieve population stabilization and contribute to the national aspirations of the $5 Trillion economy by 2024, we must focus and invest in the young citizens of the future.”

The visionary industrialist emphasized on the need to create employment opportunities for the youth as well as address the issue of gender discrimination that denies women equal opportunities in every sphere.

He urged citizens and the government to work together to ensure a better future for the country.

Mr. Tata felicitated Dr. Rani Bang and Dr. Abhay Bang with the first JRD Tata Award for Excellence in Public Service instituted to commemorate Population Foundation of India's 50th year. He congratulated them for their pioneering research and contribution to promoting the well-being of communities and public health.

The Bangs dedicated the award to the people of Gadchiroli in Maharashtra.

“We also dedicate this award to our co-workers who inspire and enable our work,” Dr. Rani Bang said.

Speaking of their vision for public health in India, Dr. Abhay Bang said, “The Indian word for health is ‘Swa-stha', which is being Self-reliant. Hence, our vision is Aarogya-Swaraj which means that people's health must remain in their hands.”

Poonam Muttreja, Executive Director of the Population Foundation of India, said, “We at Population Foundation of India are committed for young people to have the knowledge and resources to make the right choices about their health and well-being, thereby ensuring that they become a powerful driving force of change.”

The celebrations premiered Feroz Abbas Khan's highly acclaimed new romantic musical ‘Raunaq & Jassi'.

Ola Electric Mobility Raises Fresh Capital from Ratan Tata in Series A Round

Ola Electric Mobility Pvt Ltd (Ola Electric), the electric Vehicle unit of Ola, has announced that Ratan Tata, Chairman Emeritus of Tata Sons, has invested in the company as part of its Series A round of funding.

Tata is also an early investor in ANI Technologies Pvt Ltd, Ola’s parent company.

“His investment in Ola Electric will bring his deep experience and mentorship to the company’s ambitions to make electric mobility viable at scale,” the company said in a statement.

Ola Electric is currently running several pilots involving charging solutions, battery swapping stations, and deploying vehicles across two, three and four-wheeler segments, the company said.

Ratan Tata, said, “The electric vehicle ecosystem is evolving dramatically every day, and I believe Ola Electric will play a key role in its growth and development. I have always admired the vision of Bhavish Aggarwal and I’m confident that this will be part of yet another important strategic move into this new business area.”

“Tata has been an inspiration and a mentor to me personally in shaping Ola’s journey over the years. I’m very excited to welcome him on board Ola Electric as an investor and a mentor in our mission of building sustainable mobility for everyone on our planet. He is a visionary who has inspired a generation of entrepreneurs and we are privileged to have his guidance and support once again, as we work towards our goal of a million electric vehicles in India by 2021,” Bhavish Aggarwal, Co-founder & CEO, Ola said.

Ola Electric has raised a sum of Rs 400 crores led by several of Ola’s early investors, Tiger Global and Matrix India and others, as part of its first round of investment. The company was initially established to enable Ola’s electric mobility pilot program in Nagpur.

The article first appeared at India.com

Ratan Tata's RNT Capital To Invest $150 Mn in Alibaba's Ant Financial

Ratan Tata-founded RNT Capital Advisors will invest about $150 million in the mega financing round of Ant Financial Services, an affiliate company of the Chinese Alibaba Group and also the world’s most highly valued private technology company, said a report by Economics Times, citing two people privy to the development.

Notably, according an another report by Bloomberg, Ant Financial has reportedly raised about $14 billion in its latest funding round backed by Singapore’s sovereign wealth fund GIC Pte., Warburg Pincus, Canada Pension Plan Investment Board, Silver Lake and Temasek Holdings Pte.

It is too be noted that as of now it is not clear that whether the investment to be made by RNT Capital, is part of this tranche of funding raised by Ant financial, or will be part of next tranche of same funding round or another round.

According to the Economic Times report, the investment by RNT Capital will be part of a $10-12 billion funding round that is expected to value Ant Financial at $150 billion, outrunning the ride-hailing giant Uber, which is valued at $70 billion. For its investment, RNT Capital will get about a 0.1% stake in Ant Financial.

The proposed investment in Ant Financial will be the first known investment outside India for the RNT Capital. According to a Bloomberg report, Alipay, the digital payment product from Ant Financial, clocks up $2.4 trillion worth of mobile payments every three months and has 870 million customers.

Launched in 2016, RNT Capital is a global investment platform backed by Mr. Ratan Tata with close partnership with the office of the Chief Investment Officer of the Regents, University of California, and thus called as UC-RNT FUnd. The fund invests in disruptive, technology-oriented businesses across the world and takes a long-term, founder-centric approach to investing, often relying on its propriety sourcing advantage. It partners closely with the office of the Chief Investment Officer of the Regents, University of California.

RNT Capital (UC-RNT Fund) has earlier backed companies like ride-hailing app Ola in a $100-million round. Other investments include mobile point-of-sales solutions company Mswipe and healthcare startup Curefit -- both in 2017.

In January this year, RNT Capital invested $7.4 million in Bangalore-based Medtech startup Axio Biosolutions.

For Ratan Tata, Ant Financial will be the second Chinese technology company he will be investing in. In 2015, he had made a personal investment through RNT Associates in smartphone maker Xiaomi.

To recall, Ratan Tata had recently announced his ₹900 million plan to fund in such Indian startups in which no other investors like to invest. The funding will be made through his Tata Trust’s FISE or the Foundation for Innovation and Social Entrepreneurship, a social impact fund as well as a business incubator.

Ratan Tata's RNT Capital To Invest $150 Mn in Alibaba's Ant Financial

Ratan Tata-founded RNT Capital Advisors will invest about $150 million in the mega financing round of Ant Financial Services, an affiliate company of the Chinese Alibaba Group and also the world’s most highly valued private technology company, said a report by Economics Times, citing two people privy to the development.

Notably, according an another report by Bloomberg, Ant Financial has reportedly raised about $14 billion in its latest funding round backed by Singapore’s sovereign wealth fund GIC Pte., Warburg Pincus, Canada Pension Plan Investment Board, Silver Lake and Temasek Holdings Pte.

It is too be noted that as of now it is not clear that whether the investment to be made by RNT Capital, is part of this tranche of funding raised by Ant financial, or will be part of next tranche of same funding round or another round.

According to the Economic Times report, the investment by RNT Capital will be part of a $10-12 billion funding round that is expected to value Ant Financial at $150 billion, outrunning the ride-hailing giant Uber, which is valued at $70 billion. For its investment, RNT Capital will get about a 0.1% stake in Ant Financial.

The proposed investment in Ant Financial will be the first known investment outside India for the RNT Capital. According to a Bloomberg report, Alipay, the digital payment product from Ant Financial, clocks up $2.4 trillion worth of mobile payments every three months and has 870 million customers.

Launched in 2016, RNT Capital is a global investment platform backed by Mr. Ratan Tata with close partnership with the office of the Chief Investment Officer of the Regents, University of California, and thus called as UC-RNT FUnd. The fund invests in disruptive, technology-oriented businesses across the world and takes a long-term, founder-centric approach to investing, often relying on its propriety sourcing advantage. It partners closely with the office of the Chief Investment Officer of the Regents, University of California.

RNT Capital (UC-RNT Fund) has earlier backed companies like ride-hailing app Ola in a $100-million round. Other investments include mobile point-of-sales solutions company Mswipe and healthcare startup Curefit -- both in 2017.

In January this year, RNT Capital invested $7.4 million in Bangalore-based Medtech startup Axio Biosolutions.

For Ratan Tata, Ant Financial will be the second Chinese technology company he will be investing in. In 2015, he had made a personal investment through RNT Associates in smartphone maker Xiaomi.

To recall, Ratan Tata had recently announced his ₹900 million plan to fund in such Indian startups in which no other investors like to invest. The funding will be made through his Tata Trust’s FISE or the Foundation for Innovation and Social Entrepreneurship, a social impact fund as well as a business incubator.

Medtech Startup Axio Biosolutions Raises $7.4 Mn Via Ratan Tata's RNT Capital

Medtech startup Axio Biosolutions raised USD 7.4 million funding in Series B round from Ratan Tata's RNT Capital, which will be used for expansion to new markets, and development of high-impact medical products, reported ANI.

Apart from the Tata, existing investors Accel Partners and IDG Ventures India also participated in this round of funding.

Founded by Leo Mavely and Ashish Pandya, Axio is the first Indian company to launch an emergency haemostat for trauma care. Its flagship invention -- Axiostat, is a patented and CE-approved product that has prevented countless deaths due to haemorrhage and grievous injuries.

[caption id="attachment_115866" align="aligncenter" width="700"] Battlefield proven Military Variant of Axiostat currently used by Army, Paramilitary of India and abroad[/caption]

The first-aid dressing stops uncontrollable bleeding within just 2-3 minutes of its application, thus saving lives. Axiostat is the de-facto product of Indian armed forces after being used in the surgical strike to save the lives of soldiers and is now an essential part of their field kit. The product caters to the Indian Armed Forces, BSF, NSG, para-military forces, hospitals and emergency services in India and across the globe, and for this we have put Axio among India's 9 Top Defence Tech Startups.

"Uncontrolled bleeding is one of the leading causes of death from traumatic injuries. We are grateful to make a meaningful impact in this space by saving lives of innocent victims. The current round of funding will help us expand into new markets and introduce more products in the wound care and drug delivery space", said Leo Mavely, Founder and CEO of Axio Biosolutions.

Headquartered in Boston, Axio Biosolutions has its corporate office in Bengaluru and GMP-certified manufacturing facility in Gujarat. The company has built a strong R&D structure, with multiple patents to its credit in the wound healing, mucoadhesive drug delivery, and hemostats space.

In September 2016, Axio expanded its operations to UK and with that it expanded its footprints in thirteen countries including Europe, Middle-East and Africa, reinforcing its commitment to address the unmet wound care challenges across the globe.

Talking about Ratan Tata, he recently announced his ₹900 million plan to fund in such Indian startups in which no other investors like to invest. The funding will be made through his Tata Trust’s FISE or the Foundation for Innovation and Social Entrepreneurship, a social impact fund as well as a business incubator.

Medtech Startup Axio Biosolutions Raises $7.4 Mn Via Ratan Tata's RNT Capital

Medtech startup Axio Biosolutions raised USD 7.4 million funding in Series B round from Ratan Tata's RNT Capital, which will be used for expansion to new markets, and development of high-impact medical products, reported ANI.

Apart from the Tata, existing investors Accel Partners and IDG Ventures India also participated in this round of funding.

Founded by Leo Mavely and Ashish Pandya, Axio is the first Indian company to launch an emergency haemostat for trauma care. Its flagship invention -- Axiostat, is a patented and CE-approved product that has prevented countless deaths due to haemorrhage and grievous injuries.

[caption id="attachment_115866" align="aligncenter" width="700"] Battlefield proven Military Variant of Axiostat currently used by Army, Paramilitary of India and abroad[/caption]

The first-aid dressing stops uncontrollable bleeding within just 2-3 minutes of its application, thus saving lives. Axiostat is the de-facto product of Indian armed forces after being used in the surgical strike to save the lives of soldiers and is now an essential part of their field kit. The product caters to the Indian Armed Forces, BSF, NSG, para-military forces, hospitals and emergency services in India and across the globe, and for this we have put Axio among India's 9 Top Defence Tech Startups.

"Uncontrolled bleeding is one of the leading causes of death from traumatic injuries. We are grateful to make a meaningful impact in this space by saving lives of innocent victims. The current round of funding will help us expand into new markets and introduce more products in the wound care and drug delivery space", said Leo Mavely, Founder and CEO of Axio Biosolutions.

Headquartered in Boston, Axio Biosolutions has its corporate office in Bengaluru and GMP-certified manufacturing facility in Gujarat. The company has built a strong R&D structure, with multiple patents to its credit in the wound healing, mucoadhesive drug delivery, and hemostats space.

In September 2016, Axio expanded its operations to UK and with that it expanded its footprints in thirteen countries including Europe, Middle-East and Africa, reinforcing its commitment to address the unmet wound care challenges across the globe.

Talking about Ratan Tata, he recently announced his ₹900 million plan to fund in such Indian startups in which no other investors like to invest. The funding will be made through his Tata Trust’s FISE or the Foundation for Innovation and Social Entrepreneurship, a social impact fund as well as a business incubator.

Ratan Tata Launches ₹900 Mn Plan To Invest In Startups; To Setup Lab-Style Incubators Too

Ratan Tata, the chairman of global business conglomerate Tata group, has given a go ahead to a new initiative where Tata Trust will help startups in India which are high-risk and have uncertain business model in which no other investors do funding.

Additionally, under the same initiative a number of lab-style incubators for startups will be established across India.

Tata Trust's FISE or the Foundation for Innovation and Social Entrepreneurship is both a social impact fund as well as a business incubator, which was set up 18 months ago and has funded nearly. two dozen startups across businesses that range from cleaning the Ganga to building low-cost robotic exoskeletons for disabled workers. FISE is also supported by the government's Department of Science and Technology (DST).

The key objective of Ratan Tata's Trusts and FISE is to fund those kinds of startups and business models which no other investor will normally touch with a barge pole.

Additionally, Tata Trusts has also announced ₹500 million fund for startups and ₹300 million to these incubator labs, besides the ₹100 million from DST.

According to Manoj Kumar, who serves as Tata Trusts senior advisor, FISE’s objective is not profit or valuation, but to brush up and polish startups to help them take where others will be interested.

"When no one else gives these startups funds, we do. So, you could say our model is to fund high-risk, uncertain return business models," Kumar said.

Unlike other funding institutions like venture capital and angel investors, FISE does not assist microfinance startups or an e-commerce fashion platform which other venture capitalists will jump at. FISE instead helps ideas having social impact, for example a portable MRI machine that can deliver reports at one-fifth of the cost or an easily accessible world-class toilet.

Manoj Kumar further explained in a business daily that he was being told by Ratan Tata, when they were planning the venture, that -- "If you want to have deep and irreversible impact on a social scale, then you have to try different things, and not use the same approach again and again".

The above development was first reported in Business Standard.

Besides all this, FISE’s is also setting up an incubator facility -- Tata Smart Energy Incubation Center -- a 40,000 sqft facility in Delhi’s Rohini, which is expected to be launched next month, along with a health-care facility as well. Thereafter, at least “one lab will go live” every six months for two years, said Kumar, adding that each centre will be either industry or theme focussed.

Earlier yesterday, Haryana state government has also announced the plan to set up an startup incubator called 'Global Start-up Village', which will be India's biggest startup hub and will be located in Gurugram in next couple of years.

Ratan Tata Shows Interest Investing in More Startups with Passionate Founders

Rata Tata is more than just a name in the Indian Corporate world. In a career spanning almost six decades, Ratan has not only managed to maintain the Tata name and the legacy that comes with it, but he has also on the way invested his money in several small businesses.

Having invested in over 30 startups, Tata has now come to acquire the status of a serial start-up investor. Tata, in his personal capacity, has invested in some of the most popular startups known in the startup ecosystem known today, including Ola, Snapdeal, Urban Ladder, FirstCry, CarDekho, Xiaomi, DogSpot.in, CashKaro and Teabox.

Recently, Tata revealed how he selects the startups he wants to invests in. Tata said that he invests in startups that have founders who are working with the passion of building a sustainable company rather than just scaling it up and eventually selling it for big bucks.

In an interview to CNBC TV18, Tata said, "A founder who has a passion to stay with something and build it into a sustainable company is somebody I tend to support.”

Tata also shared that since he was the Chairman of Tata Sons, he could not take up investments in the startups as it would have conflicted with what Tata's were doing. But, now that he has stepped down from the position, he’s a free person and can do whatever he wants to.

He said, “Now I am a free person and its invigorating to do this and I am meeting a lot of young people who one day will be the leaders of the industry.”

In the interview, Tata also stressed on the need to have a vision in the startups that exist today. He said, "I am not going to invest in a business where I have no interest in, so the vision of the startup is important.”

So, now you know, if you need an investment from Rata Tata himself, all you need is a business with vision and founders who have passion to realise that vision.

This development was first reported in Times of India.

Also Read: Today’s 10 Successful Startups Funded by Ratan Tata

Ratan Tata Shows Interest Investing in More Startups with Passionate Founders

Rata Tata is more than just a name in the Indian Corporate world. In a career spanning almost six decades, Ratan has not only managed to maintain the Tata name and the legacy that comes with it, but he has also on the way invested his money in several small businesses.

Having invested in over 30 startups, Tata has now come to acquire the status of a serial start-up investor. Tata, in his personal capacity, has invested in some of the most popular startups known in the startup ecosystem known today, including Ola, Snapdeal, Urban Ladder, FirstCry, CarDekho, Xiaomi, DogSpot.in, CashKaro and Teabox.

Recently, Tata revealed how he selects the startups he wants to invests in. Tata said that he invests in startups that have founders who are working with the passion of building a sustainable company rather than just scaling it up and eventually selling it for big bucks.

In an interview to CNBC TV18, Tata said, "A founder who has a passion to stay with something and build it into a sustainable company is somebody I tend to support.”

Tata also shared that since he was the Chairman of Tata Sons, he could not take up investments in the startups as it would have conflicted with what Tata's were doing. But, now that he has stepped down from the position, he’s a free person and can do whatever he wants to.

He said, “Now I am a free person and its invigorating to do this and I am meeting a lot of young people who one day will be the leaders of the industry.”

In the interview, Tata also stressed on the need to have a vision in the startups that exist today. He said, "I am not going to invest in a business where I have no interest in, so the vision of the startup is important.”

So, now you know, if you need an investment from Rata Tata himself, all you need is a business with vision and founders who have passion to realise that vision.

This development was first reported in Times of India.

Also Read: Today’s 10 Successful Startups Funded by Ratan Tata

Moglix Raises $12 Mn In Series B funding From IFC, Rocketship, Others

B2B e-commerce startup, Moglix has announced closing of Series B round of funding at $12 million. The round saw participation from International Finance Corporation (IFC), a member of the World Bank Group and Rocketship.vc, along with Moglix’s existing investors Accel Partners, Jungle Ventures, Shailesh Rao, ex-VP Twitter and Google and Venture Highway advised by Neeraj Arora of Whatsapp.

Moglix is also backed by Tata Sons’ Chairman Emeritus Ratan Tata since its inception, as his maiden investment in B2B e-commerce domain.

The company plans to use funds to support the strong demand for Moglix’s robust technology solution in supply chain and manufacturing domain, infrastructure growth and geographical expansion plans.

Manufacturing sector in India is the least digitised industry compared to other sectors in India. Today, barely 2-3% of manufacturing units are using digital platforms in their supply chain management. With this investment, Moglix is looking to propel digital revolution of India’s manufacturing sector with its integrated digital supply chain solution and aiming to launch in 3 more cities in India apart from its current presence in Delhi NCR, Pune and Chennai.

Commenting on the development, Pravan Malhotra, Head Asia Internet Investments, IFC, said, "Moglix’s client satisfaction, innovation, strength of management and expansion are redefining the B2B e-commerce market. We are excited to partner with the company as they embark on the path of rapid growth and success.”

Founded in 2015 by Rahul Garg who was previously the Head of Advertising Exchange at Google Asia, Moglix is led by a group of young and motivated individuals passionate about shaping the manufacturing/ B2B commerce landscape in India.

Moglix that is specializes in B2B procurement of industrial products such as MRO, Fasteners, Electrical, Hardware, Pneumatics, Safety items and more, aims to be the largest technology platform where demand and supply can be matched through price discovery and product availability.

Moglix’s solutions cater to more than one lakh small and medium-sized enterprises (SMEs), and over 200+ large manufacturing houses in India. Moglix currently has more than two lakh stock keeping units (SKUs) listed on its platform and serves some of the largest auto, electrical and public sector undertakings (PSUs) in the country including Lumax, IndiaForge, Havells etc.

“The raise will accelerate our infrastructure build-up to better serve our customers, and enhance our product offerings as the manufacturing and supply chain industry heralds towards digitization.According to a recent industry report, the global B2B e-commerce market is estimated to reach $7 trillion by 2020, as it’s twice as big as B2C market. We are making strides to harness the potential of the market in India and other Asian countries,” said Rahul Garg, Founder & CEO, Moglix.

The company specializes in digital procurement of industrial MRO items and aims to utilise the funds to expand geographically across multiple industrial hubs in India. With the recent reforms of GST implementation and move towards a cashless economy, Moglix is well-poised to cater to more customers in the days to come.

Recently, Moglix also launched GreenGST, a unique solution for the manufacturing sector that will make the entire customer ecosystem GST compliant and future-ready, marking another milestone towards its commitment to the space.

Moglix had previously raised Seed and Series A funding of $6 million from venture capital firms like Accel Partners, Jungle Ventures, SeedPlus and Venture Highway. With this current round, the total amount of fund raised by Moglix stands at $18 million. The announcement is significant since the investment has been raised at a time when there is heightened uncertainty and deteriorating business confidence overshadowing the startup ecosystem.

Moglix To Empower $300 Bn Manufacturing Unit In India; Launches Green GST

Manufacturing sector is the least digitized compared to other sectors in India. Today, only 20% of manufacturing units are using digital in their supply chain management. With GST on the anvil, this number is expected to go up, as it will be mandatory for businesses of all sizes to file their indirect taxes online as per the new tax regime.

In making manufacturing units GST complaint, Green GST is also tackling the challenge of making vendors – mostly small manufacturers and traders – ready for the new regime.

Recently, B2B e-commerce marketplace, Moglix has launched ‘Green GST’ - a SAAS-based GST application solution for manufacturing units across India. Aimed at improving transparency and digitization in the manufacturing space, the tool will provide organisations with end-to-end Goods and Services Tax (GST) compliance support. The Green GST solution will be offered free of cost for a 30 day trial period to a user or companies with turnover below $4 million. Post the trial, if the user is willing to continue, they will have to bear a subsidized costs related to GST Suvidha Provider (GSP) transaction. The cost will be valid for up to 2400 invoices a year for a single user. The solution has been developed to make supply chains of manufacturing units GST complaint ahead of the law implementation on July 1st, 2017.

Commenting on the development, Rahul Garg, Founder and CEO, Moglix said, “Moglix’s Green GST is aligned with the government’s One Country, One Tax vision. Our solution will help India’s manufacturing units become fully GST compliant within their supply chain, in an effective and efficient manner. Through this solution, Moglix hopes to make its contribution to making India future-ready, and also help promote a clean, green and transparent business environment."

Green GST leverages Moglix’s expertise in digitizing supply chains, especially those of manufacturing units. It is a feature-rich solution for filing of GST, reconciliation of invoices, maintaining dashboards for multiple plants and warehouses, and managing taxes for various locations and cross-border trading.  Moglix will extend its existing commerce eco-system to consolidate small vendors, and create a compliant atmosphere for manufacturing units to operate in. This comes on the back of Moglix’s GST filing solution introduced in December 2016 to allow mid-to-large-sized manufacturing companies file and reconcile their GST payments with the Goods and Services Tax Network (GSTN).

“In these interesting times, Moglix stands at a unique confluence of expertise in technology and the manufacturing supply chain. We are excited about the tremendous opportunity for our customers to enhance their business footprint using our technology and analytics capabilities,” said Garg.

Founded in August 2015 by Rahul Garg who was previously the Head of Advertising Exchange at Google Asia,  Moglix is an B2B e-commerce marketplace that specializes in B2B procurement of industrial products such as MRO, fasteners, electrical, hardware, pneumatics, safety items and more. Startup has raised Series A and Seed funding of Rs38 Cr from venture capital firms like Accel Partners, Jungle Ventures, SeedPlus and Venture Highway. The company is backed by Ratan Tata, Chairman Emeritus, Tata Sons as an investor. Recently, SAP Labs identified Moglix as its startup tech partner for shaping B2B commerce in India.

Flipkart-Snapdeal Merger Now Needs Go-Ahead from Ratan Tata, Azim Premji

A few days back, we reported how finally after 3 months-long deliberations that included more than 15 board meetings and a giant payout of at least $210 million, the Flipkart-Snapdeal merger was finally happening. But, now comes the news that there is still one bump in the road. According to people familiar with the deal, the merger still requires a go-ahead from two of India’s most powerful businessmen magnets, Ratan Tata and Azim Premji.

The merger, which is being deemed as India's biggest consolidation in the e-commerce sector, took a long time to materialise initially mainly because of Snapdeal’s early-stage investor Nexus Venture Partners (NVP) not being happy with the payout being offered by the Tokyo-headquartered telecom and internet giant SoftBank.

The final deal has ended up valuing Snapdeal at around $1 billion, which is a major fall from its $6.5 billion last year, which was the e-commerce firm's peak valuation in its short lived lifespan of seven years. Though the founders, Kunal Bahl and Rohit Bansal and the early-stage investors Kalaari Capital and Nexus Venture Partners have reached a non-binding preliminary agreement wit SoftBank, but that still requires due diligence to be completed in a few weeks.

According to sources close to Snapdeal, the company still has a huge task of getting some of its important investors to agree to sign the papers of the deal. This includes the family offices of Ratan Tata's Tata Group and Azim Premji's Wipro Ltd. It's still not clear if this could act as a major hurdle in the closing of the deal.

According to people familiar with the deal, if the process of duel diligence goes as planned, a term sheet specifying stock and cash for each Snapdeal shareholder will be furnished with the final agreement getting signed by by mid- to late June this year.

According to the terms specified in the preliminary pact, Snapdeal’s two founders Kunal Bahl and Rohit Bansal, who hold approximately 6.5 per cent together in the company, can be expected to get richer by a whopping $60 million when the merger comes through. Though, they might not be given any stake in the merged entity. Nexus has reportedly been given around $80 million for its single-digit stake in Snapdeal, with the exit amount to be provided in a combination of cash and stock in the Flipkart-Snapdeal merged company. Kalaari Capital, on the other hand, is expected to get around $70 million in exit money.

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. Reportedly, Bezos' has recently decided to spend a whopping amount of $5 billion in India to gain significant share as the e-commerce market surges in the Indian subcontinent.

According to Masayoshi Son, SoftBank founder, the deal will prove to be a win-win situation for both homegrown e-commerce players. Sources inform that the Son, whose company owns about a third of Snapdeal parent Jasper Infotech Pvt. Ltd. could contribute that equity to the merged entity and infuse another $500 million to $1 billion in Flipkart through a transaction with Flipkart backer Tiger Global Management. The amount will give Flipkart more fuel to battle it out with Amazon.

According to a report in the livemint, not all small investors in Snapdeal are happy with the proposed Flipkart acquisition and some are said to be even dragging their feet. No one knows as of now if this could end up being a deal breaker for the final leg of Flipkart-Snapdeal merger.

Flipkart-Snapdeal Merger Now Needs Go-Ahead from Ratan Tata, Azim Premji

A few days back, we reported how finally after 3 months-long deliberations that included more than 15 board meetings and a giant payout of at least $210 million, the Flipkart-Snapdeal merger was finally happening. But, now comes the news that there is still one bump in the road. According to people familiar with the deal, the merger still requires a go-ahead from two of India’s most powerful businessmen magnets, Ratan Tata and Azim Premji.

The merger, which is being deemed as India's biggest consolidation in the e-commerce sector, took a long time to materialise initially mainly because of Snapdeal’s early-stage investor Nexus Venture Partners (NVP) not being happy with the payout being offered by the Tokyo-headquartered telecom and internet giant SoftBank.

The final deal has ended up valuing Snapdeal at around $1 billion, which is a major fall from its $6.5 billion last year, which was the e-commerce firm's peak valuation in its short lived lifespan of seven years. Though the founders, Kunal Bahl and Rohit Bansal and the early-stage investors Kalaari Capital and Nexus Venture Partners have reached a non-binding preliminary agreement wit SoftBank, but that still requires due diligence to be completed in a few weeks.

According to sources close to Snapdeal, the company still has a huge task of getting some of its important investors to agree to sign the papers of the deal. This includes the family offices of Ratan Tata's Tata Group and Azim Premji's Wipro Ltd. It's still not clear if this could act as a major hurdle in the closing of the deal.

According to people familiar with the deal, if the process of duel diligence goes as planned, a term sheet specifying stock and cash for each Snapdeal shareholder will be furnished with the final agreement getting signed by by mid- to late June this year.

According to the terms specified in the preliminary pact, Snapdeal’s two founders Kunal Bahl and Rohit Bansal, who hold approximately 6.5 per cent together in the company, can be expected to get richer by a whopping $60 million when the merger comes through. Though, they might not be given any stake in the merged entity. Nexus has reportedly been given around $80 million for its single-digit stake in Snapdeal, with the exit amount to be provided in a combination of cash and stock in the Flipkart-Snapdeal merged company. Kalaari Capital, on the other hand, is expected to get around $70 million in exit money.

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. Reportedly, Bezos' has recently decided to spend a whopping amount of $5 billion in India to gain significant share as the e-commerce market surges in the Indian subcontinent.

According to Masayoshi Son, SoftBank founder, the deal will prove to be a win-win situation for both homegrown e-commerce players. Sources inform that the Son, whose company owns about a third of Snapdeal parent Jasper Infotech Pvt. Ltd. could contribute that equity to the merged entity and infuse another $500 million to $1 billion in Flipkart through a transaction with Flipkart backer Tiger Global Management. The amount will give Flipkart more fuel to battle it out with Amazon.

According to a report in the livemint, not all small investors in Snapdeal are happy with the proposed Flipkart acquisition and some are said to be even dragging their feet. No one knows as of now if this could end up being a deal breaker for the final leg of Flipkart-Snapdeal merger.