Chinese e-commerce giant Alibaba has received the go ahead from anti-trust regulator Competition Commission of India’s (CCI) for buying 4.14 per cent stake in Snapdeal which has been raising funds from various investors in recent times, according to an agency report.
CCI has approved the “acquisition of approximately 4.14 per cent equity share capital of Jasper Infotech by Alibaba group”, the regulator tweeted. New Delhi-based Jasper Infotech owns Snapdeal, one of India’s three biggest e-tailers.
Approval is required from CCI, which keeps a tab on unfair business practices, for acquisitions beyond a certain threshold.
In August it was announced that Alibaba Group and Taiwan-based Foxconn Technology, among others, would invest $500 million (about Rs 3,269 crore) in Snapdeal.
Jasper Infotech had not specified the individual investments being made while FIH Mobile Ltd — a unit of Foxconn — had said that it was picking up 4.27 per cent stake in the company for $200 million.Existing investors Temasek Holdings Pte, BlackRock Inc, Myriad and Premji Invest had also participated in the fund raising.