Snapdeal raises $500 million from Foxconn, Alibaba, Softbank

Taiwan's Foxconn and Chinese e-commerce giant Alibaba are investing about $200 million each in Snapdeal, while Softbank — the largest shareholder in Snapdeal — is infusing additional $100 million, sources said. This makes Jasper Infotech —which runs Snapdeal — richer by about $500 million. 

After closure of this fresh investment, Softbank would further cement its position of largest shareholder in Snapdeal with additional about 2% stake. Alibaba and Foxconn are picking up about 4% each, sources said. Softbank had invested about $627 million for about 30% stake in Snapdeal last year. 

It is learnt that the latest round of funding has come at a valuation of $5-6 billion. Flipkart is looking at a valuation of $15 billion. When contacted, a Snapdeal spokesperson said, "We do not comment on speculations." An email sent to Softbank remained unanswered. Snapdeal has been on the deal street for quite some time but differences over valuation of the company delayed arrival of fresh money.

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