India’s bustling $15 billion e-commerce market is all set for a shakeup as a mega deal is on the cards.
US giant Amazon is learnt to be in preliminary talks to acquire a majority stake in leading courier and integrated express package distribution company Blue Dart, sources privy to ongoing discussions told ET NOW.
” Amazon is evaluating options to buy out the 75 per cent promoter stake held by DHL Express Singapore PTE Ltd in Blue Dart and the talks are currently at an early stage and it may or may not fructify into a deal. If the transactions materialises, it will help Amazon expand its overall customer reach, beef up its delivery services and provide an edge over domestic rivals Flipkart and Snapdeal,” said an individual on the condition of anonymity without elaborating further.
ET NOW could not independently verify the valuations of the likely deal. At current market prices, a 75 per cent stake in Blue Dart would cost around $2 billion dollars.
In response to email queries from ET NOW, Amazon said ” ‘We don’t comment on anything we may or may not do in future’ and a DHL spokesperson said that the company does not comment on market speculation or rumours. Blue Dart declined to comment.
According to the company website, Blue Dart has an extensive domestic network covering over 34,248 locations, and services more than 220 countries and territories worldwide through its group company DHL, a leading global player in express distribution services. Blue Dart has warehouses at 72 locations across the country as well as bonded warehouses at Ahmedabad, Bangalore, Chennai, Delhi, Mumbai, Kolkata and Hyderabad. (Soiurce: ET)