India’s Jasper Infotech has raised $200 million (Rs 1,367.6 crore) in a Series J funding round for its Snapdeal online marketplace, led by Ontario Teachers’ Pension Plan, one of the world’s largest pension funds, and Brother Fortune Apparel, a Singapore-based investment firm representing Chinese angel investors advised by Iron Pillar, a venture fund focused on mid-stage tech investments in India.
Iron Pillar’s founders and managing directors are Sameer Nath, former head of M&A at Citi India, and Anand Prasanna, a former executive at global investment firms Morgan Creek, Sequoia Capital, McKinsey & Co and Squadron Capital.
With this, Snapdeal’s valuation has gone past $6.5 billion, up from around $5 billion last August when it raised $500 million from a group of investors including Alibaba and Foxconn Technology. E-commerce major Flipkart’s valuation is pegged at around $15 billion. Till now, Snapdeal has raised roughly around $2 billion, says the Business Standard.
Bennett, Coleman & Co Ltd, publisher of The Economic Times, has also participated in the latest round, and has been issued 15,638 warrants estimated at Rs 25.49 crore. The total investment is estimated to be between Rs 250 crore and Rs 300 crore, according to the ET.
According to the documents filed with the RoC, Jasper Infotech has issued 20,205 Series J compulsorily convertible cumulative participating preference shares priced at Rs 1,65,929.15 each to Brother Fortune Apparel. Preference shares in the previous round announced in August by Foxconn and Alibaba were issued at Rs 1,25,802, indicating that Snapdeal’s new round of financing is being done at 32% premium.
Snapdeal’s investors include SoftBank, BlackRock, Temasek, Foxconn, Alibaba, eBay Inc., Premji Invest, Intel Capital, Bessemer Venture Partners and chairman emeritus of Tata Group Ratan Tata, among others.
“We see these investments as a continuing endorsement of Snapdeal’s strategy to build India’s most reliable and frictionless commerce ecosystem. We continue to make targeted investments in building internal and external capabilities that will enable us to consistently deliver optimal experience for the millions of buyers and sellers who transact daily on Snapdeal,” said Snapdeal CFO Anup Vikal.
Over the past two years, Snapdeal has made significant investments in technology and in complementary acquisitions in pursuit of its aim to build India’s most reliable and frictionless commerce ecosystem. With its acquisition of Freecharge in 2015, a leading mobile transactions platform, Snapdeal has become the largest mCommerce company in india.
Founded in 2010 by Kunal Bahl and Rohit Bansal, Snapdeal has more than 275,000 sellers, 30 million plus products with the widest assortment across 500+ diverse categories, from thousands of regional, national, and international brands and retailers, and a reach covering more than 6,000 towns and cities across India.
Singapore-based Brother Fortune Apparel Pte Ltd, a special purpose investment entity which represents several Chinese high net-worth angel investors, has invested Rs 335 crore in Snapdeal. Brother Fortune was advised
The Ontario Teachers’ Pension Plan is Canada’s largest single-profession pension plan, with $154.5 billion in assets. An independent organization, it invests the pension fund’s assets and administers the pensions of 311,000 active and retired Ontario teachers. Ontario Teachers’ is headquartered in Toronto. It also has operations in New York, London and Hong Kong.