Softbank, the most extensive investor of Snapdeal is keeping all its options intact. The bank is led by Masayoshi’ son and the Japanese giants are under the discussion about the possible merger of Flipkart and Snapdeal. Snapdeal was also banking out options to close the replica deal with Paytm.
The full fledged merger of Snapdeal with Paytm is under the high time discussion as mentioned by the sources. This also leads to the conclusion that Softbank will most probably invest in the Alibaba wallet company.
Softbank is one of the most extensive and oldest investor of Alibaba. There are high time possibilities that Softbank will take the equal stake in Paytm for making investment of about $1 billion.
The news is not new that Softbank is under continuous efforts to sell out Snapdeal. They are under discussion with Tiger Globe to carry out a merger with Flipkart. Here, the Tiger Globe holds the top investment profile in Flipkart’s investors.
As per the current scenario, the deal is under seesaw phase. It can either go with Flipkart or Paytm.
SoftBank is considering not to conclude anything on the issue. The sources are considering digital payments as a beneficial space to be in for the Softbank. The sources mentioned, “If SoftBank manages to close the deal with Alibaba, it would get a stake in the country’s largest wallet”.
On the other hand, Alibaba is the 40% stakeholder in the company called Paytm. This makes their investment amount as $1 billion.
Here, as Alibaba is the common investor in Paytm and Snapdeal, we can sense a probable synergy in their merger. The reports say, “They both have a marketplace, a mobile wallet as well as Alibaba as a common investor. For SoftBank, it makes more sense to deal with the Chinese tech major in which it has considerable stake.’’
