Snapdeal ends merger talks with Flipkart; to go solo

Agencies
July 31, 2017

New Delhi, Jul 31: Snapdeal today called off the USD 950 million-takeover (over Rs 6,000 crore) by Flipkart, apparently over differences in valuation and terms of what could possibly have been the largest deal in the Indian e-commerce space.

Discussions to acquire the beleagured Snapdeal by Flipkart were initiated in March but contours of the deal could not reach a finality even after several rounds.

"Snapdeal has been exploring strategic options over the last several months. The company has now decided to pursue an independent path and is terminating all strategic discussions as a result," a Snapdeal spokesperson said in a statement, without naming Flipkart.

The spokesperson added that the company will now pursue "Snapdeal 2.0" which is expected to help Snapdeal be "financially self-sustainable".

Japanese conglomerate SoftBank, which holds close to 35 per cent stake in Snapdeal and one that was driving the discussions, said it supports entrepreneurs and their vision.

"...we respect the decision to pursue an independent strategy. We look forward to the results of the Snapdeal 2.0 strategy, and to remaining invested in the vibrant Indian e- commerce space," a SoftBank spokesperson said.

According to company sources, the talks ended on account of the complexity of the deal that came with multiple conditions, right from indemnity to a non-compete clause.

These did not find favour with the founders of the Gurugram-based online marketplace, they added. The sources did not wish to be named as the discussions were private.

The deal was also contingent upon a nod from Snapdeal's high-profile minority investors, including Ratan Tata and Azim Premji's investment arm, PremjiInvest.

It wasn't immediately clear if any of the minority shareholders had objected to the deal. Once a leading player in the Indian e-commerce space, Snapdeal has seen its fortunes falling amid strong competition from rivals, Amazon and Flipkart.

Its valuation plunged from a peak of about USD 6.5 billion in February 2016 to about USD 1 billion during the latest round of discussions. India's nascent e-commerce sector is witnessing an intense battle for leadership between US-based Amazon and homegrown firm, Flipkart as more Indians turn to online shopping.

The players have been pumping in millions of dollars in building infrastructure, getting sellers online as well as promotions to bring more shoppers onboard.

The decision to continue independently also comes within days of Snapdeal agreeing to sell its digital payment platform, FreeCharge, to Axis Bank for Rs 385 crore.

One of the sources said Snapdeal is now pivoting into a 'Taobao'-like open marketplace setup and with money coming in from the sale of non-core assets like Freecharge and Vulcan (when it gets completed), the company will have a run time of at a few years. Snapdeal has about 1,200 employees.

In an e-mail to employees last week, Bahl had indicated that the company may decide to continue independently. Bahl had said the Freecharge deal would give Snapdeal the "necessary boost in resources" to continue its e-commerce journey.

The discussions with Flipkart stretched over five months for a number of reasons. SoftBank worked overtime to get early investors, Kalaari and Nexus Venture Partners -- who also have Board representation -- to agree to the deal.

After their approval, Snapdeal Board turned down Flipkart's USD 800-850 million (about Rs 5,500 crore) offer, saying the amount undervalued the company.

While Flipkart revised the offer to USD 900-950 million, it came with a number of riders that did not find favour with the company.

There have been reports suggesting that SoftBank was looking at picking up stake in Flipkart through the Snapdeal transaction.

With the deal now off, reports say SoftBank may look at investing in Flipkart separately, though it could not be independently verified.

Greyhound Research chief analyst and CEO Sanchit Vir Gogia said Snapdeal 2.0 will need the company to have a different approach to survive and thrive.

"They will have to take a specialised approach to ensure they can continue. The market is now clearly open to a third player after Amazon and Flipkart, possibly to Paytm," he said.

Gogia also noted that the development should also be a reminder to startups that "they should not take consumers and investors for granted". "Valuation alone doesn't help keep a business alive," he said.

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News Network
November 26,2025

Mangaluru, Nov 26: Assembly Speaker and local MLA U.T. Khader has initiated a high-level push to resolve one of Mangaluru’s longest-standing traffic headaches: the narrow, high-density stretch of National Highway-66 between Nanthoor and Talapady.

He announced on Tuesday that a formal proposal has been submitted to the Union Ministry of Road Transport and Highways (MoRTH) seeking approval to prepare a Detailed Project Report (DPR) for the widening of this crucial corridor.

The plan specifically aims to expand the existing 45-meter road width to a full 60 meters, coupled with the construction of dedicated service roads. Khader highlighted that land for a 60-meter highway was originally acquired during the initial four-laning project, but only 45 meters were developed, leading to a perpetual bottleneck.

"With vehicle density rising sharply, the expansion has become unavoidable," Khader stated, stressing that the upgrade is essential for ensuring smoother traffic flow and improving safety at the city's main entry and exit points.

The stretch between Nanthoor and Talapady is a vital link on the busy Kochi-Panvel coastal highway and connects to major city junctions. The move to utilize the previously acquired land for the full 60-meter width is seen as a necessary measure to catch up with the region's rapid vehicular growth and prevent further traffic gridlocks.

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P A Hameed Padubidri
November 26,2025

CD.jpg

Constitution Day, also known as Samvidhan Divas, is observed every year on November 26 to honor the adoption of the Constitution of India and to recognize the visionary effort that shaped the world’s largest democracy.

Historical Background

It’s on November 26, 1949, the Constituent Assembly of India formally adopted the Constitution.This date is commemorated to acknowledge the completion of nearly three years of drafting, debate, and refinement.

On January 26, 1950, the Constitution came into force, marking India’s transition from a dominion to a sovereign republic.

The date 26 January was chosen to honor the “Purna Swaraj” declaration made in 1930 that marked the relentless efforts & sacrifices of the many. 

Why Constitution Day is Celebrated

* To honor & remember the framers of the Constitution, especially Dr. B. R. Ambedkar, the Chairman of the Drafting Committee, & many others. 

* To remind the citizens of the values, responsibilities, and rights enshrined in the Constitution.

* To promote constitutional values & literacy among students, institutions, and the general public.

* To reaffirm the nation’s commitment to justice, equality, liberty, fraternity and secular values. 

Vision and Significance of the Constitution

It establishes the fundamental political and legal framework for the nation.

Defines the structure, powers and functions of:
    •    The Executive
    •    The Legislature
    •    The Judiciary
    •    Guarantees a comprehensive set of Fundamental Rights, including:

-Equality before law
-Freedom of speech & expression
-Protection of life and personal liberty
-Freedom of religion
-Embeds Directive Principles of State Policy, guiding governance toward social justice and welfare.
-Introduces Fundamental Duties to ensure civic responsibility among citizens.

Key Features Celebrated on Constitution Day

-The Indian constitution is considered one of the longest written constitutions of the world. It’s systematically drafted considering almost all aspects that properly fits to the country. 

-Blend of multiple global constitutional principles while staying rooted in Indian values and realities.

-Framework that balances Federalism, Secularism, Democracy and Rule of Law. This makes everyone-from President to common man-below the law & are equal in the sight of law. 

-Another feature is that it’s based on built-in mechanisms for amendments, ensuring the Constitution grows with changing needs.

Message of the Day

The core ethos of this  Constitution Day is not merely about looking back at history-it’s a reminder of the continuous duty to protect democratic values, respect diversity and uphold the principles that define India as a sovereign, socialist, secular and democratic republic.

Happy Constitution Day to all my compatriots

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News Network
November 22,2025

Mangaluru: Police Commissioner Sudheer Kumar Reddy C H has warned of strict action against individuals spreading rumours and attempting to create insecurity within the Muslim community and fuel hatred between Hindus and Muslims through social media.

Referring to a recent social media post alleging that police personnel had entered a masjid premises to check whether beef was being cooked, the commissioner said miscreants were attempting to push their communal agenda. 

“A group of people, both from Mangaluru and abroad, are trying hard to spread rumours. For the past 10 days, they have been attempting to rake up old issues, highlight routine matters as controversies, or fabricate news altogether,” he said.

He reiterated that any such attempts to disturb communal harmony would invite legal action. “Cases will be registered and the accused will be brought to book,” he stated.

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