Myntra, a subsidiary of Flipkart has bought Rocket Internet’s Jabong for 70 million dollars in cash to become India’s No 1 e-commerce marketplace.
Jabong which was once a big player in India’s online retailing industry has crashed due to difficult times and low sales. Interestingly, this sale is coming on the heels of the entry of e-commerce giant Amazon.com.
Romain Voog, the Chief Executive Officer (CEO) of Global Fashion Group (GFG), the parent company of Jabong said: “Profitability is a key focus for GFG. The sale of India is part of a strategy to refocus GFG on core markets with high growth potential and large sales potential.”
Jabong was established as an Indian fashion and lifestyle e-commerce portal founded by Praveen Sinha,Lakshmi Potluri, and Arun Chandra Mohan. The portal sells apparel, footwear, fashion accessories, beauty products, fragrances, home accessories and other fashion and lifestyle products. The company is headquartered in Gurgaon, New Capital Region.
