Technology
BigBasket, an Indian e-grocer, has been acquired by Tata Digital in order to fuel the company's super-app ambitions.
The purchase would help Tata Group achieve its goal of building a digital consumer ecosystem that includes online food and shopping. BigBasket's value might rise to between US$1.8 billion and US$2 billion as a result of the purchase.
BigBasket, which was founded in 2011, runs a farm-to-fork supply chain with over 12,000 farmers and many collection facilities across India, delivering fresh fruits and vegetables. It offers over 50,000 stock holding unit assortments to customers, as well as home delivery on their desired days and timeslots.
“E-grocery has been one of the fastest growing segments in the consumer ecommerce space, and its growth is propelled by India’s rising consumption and digital penetration,” the companies said in a joint statement.
Consumers are increasingly turning to internet-based, at-home solutions as a result of health concerns and pandemic-related lockdowns, boosting the adoption of ecommerce, digital payments, food delivery, and other online channels.
BigBasket was allegedly in discussions to sell a 50% share in the firm for over $1 billion in October 2020. Alibaba, the Chinese Internet giant, is also set to sell its whole 26 percent share in the e-grocery business.
Meanwhile, it was recently revealed that Tata Group is interested in acquiring Curefit, a health and fitness firm. This is in keeping with the Indian conglomerate's larger goal of launching its own super app and gaining a head start on competitors.
In the next years, BigBasket plans to conduct an initial public offering in order to provide an exit for existing investors.
