Mukesh Ambani-led conglomerate Reliance Industries Limited has announced that it is acquiring Google-backed fashion e-commerce platform Fynd for a whopping ₹295 crores. Trough it’s wholly-owned subsidiary Reliance Industrial Investments and Holdings Limited, RIL will acquire 87.6% stake in the startup.
Besides this, the company also has reserved an option to further invest around ₹100 crores in the seven-years-old Mumbai-based startup by December 2021. The deal was reported by Entrackr in March this year, however, Fynd’s co-founder Harsh Shah had denied any such deal then.
The development is in line with Reliance’s plan to launch its e-commerce platform to compete with Amazon and Flipkart.
Fynd will continue to work separately after the deal and RIL will integrate Fynd’s omnichannel strategy to power offline sellers and brand for its e-commerce business. According to Shah, Reliance Retail has been a customer of Fynd for more than six years and more than 25 brands from Fynd are owned by the RIL chain.
Fynd has raised more than ₹100 crores from 50 investors including Axis Capital, Patni, Kae Capital, and IIFL. In March 2018, Google invested an undisclosed amount in its Series C round.
This is Reliance’s sixth acquisition in the past 1 to 1.5 years. Previously, the firm acquired controlling stakes in startups like Embibe, Reverie Technologies, Sankhya Sutra Labs, Haptik and Easy Gov. Apart from the above investments, RIL is eyeing to acquire Mumbai-based logistics startup Grab.