Indian e-commerce giant Flipkart has acquired another fashion retail website, beating competitors Snapdeal to the chase. Myntra, owned by Flipkart, has acquired Jabong for $70 million from the Global Fashion Group..Khaitan & Co acted for Flipkart, through a team led by Partner Ganesh Prasad and including Senior Associate Rohith Rajendran and Associate H Muralikrishnan..BMR Legal represented Global Fashion Group, which previously owned Jabong. The team was led by Partner Amit Khansaheb and included Principal Vishruta Kaul and Senior Associate Deep Jain..According to Livemint, the sale marks one of the most dramatic declines in India’s online retail business. At the end of 2013, Jabong was worth as much as €388 million (about $508 million). In that financial year (year ended March 2014) Jabong reported sales of Rs.438 crore. Even though its sales increased to Rs 869 crore in the last financial year, Jabong’s value collapsed because of a combination of leadership issues, market share losses and a funding crunch.
Indian e-commerce giant Flipkart has acquired another fashion retail website, beating competitors Snapdeal to the chase. Myntra, owned by Flipkart, has acquired Jabong for $70 million from the Global Fashion Group..Khaitan & Co acted for Flipkart, through a team led by Partner Ganesh Prasad and including Senior Associate Rohith Rajendran and Associate H Muralikrishnan..BMR Legal represented Global Fashion Group, which previously owned Jabong. The team was led by Partner Amit Khansaheb and included Principal Vishruta Kaul and Senior Associate Deep Jain..According to Livemint, the sale marks one of the most dramatic declines in India’s online retail business. At the end of 2013, Jabong was worth as much as €388 million (about $508 million). In that financial year (year ended March 2014) Jabong reported sales of Rs.438 crore. Even though its sales increased to Rs 869 crore in the last financial year, Jabong’s value collapsed because of a combination of leadership issues, market share losses and a funding crunch.