Just over a month after seeking the approval of the Competition Commission of India (CCI), it seems that Jack Ma-led ecommerce behemoth Alibaba has received the regulator’s nod to invest in hyperlocal grocery delivery startup Bigbasket.
According to CCI’s “Summary of the Combination”, Alibaba.com Singapore E-commerce, a subsidiary of Alibaba Group Holding, will be transferring the funds to Supermarket Grocery Supplies, the parent entity of Benglauru-based Bigbasket.
The development comes just a week after it was reported that Alibaba and Paytm Mall were gearing up to acquire around 35%–40% stake in the online grocery delivery platform, against a total investment of $300 Mn.
As per sources, the deal is expected to be announced soon and will raise BigBasket’s post-money valuation to $850 Mn. Further, the transaction is expected to involve a primary investment of about $220 Mn while $80 Mn will be used to acquire shares from existing investors.
BigBasket co-founders Hari Menon, Vipul Parekh, Abhinay Chaudhary and VS Sudhakar are also reportedly looking to sell a portion of their holding in the company.
An email query sent to Bigbasket’s communication team did not elicit a response till the time of publication.