How Snapdeal will Survive? | Technotok
As per incoming reports, it seems that Snapdeal won’t depend on external funding (not at least right now), and use other alternative means to sustain themselves.
Sale of some assets is on the cards as well.
The statement said: “In addition, with the sale of certain non-core assets, Snapdeal is expected to be financially self-sustainable..”
SoftBank, which is the primary investor, and majority stakeholder in Snapdeal too hasn’t revealed any fresh infusion of funds into the company.
However, they seem to support Snapdeal’s vision, and enthusiasm, as they issued a statement saying, “Supporting entrepreneurs and their vision and aspirations is at the heart of Masayoshi Son’s and SoftBank’s investment philosophy. As such, we respect the decision to pursue an independent strategy. We look forward to the results of the Snapdeal 2.0 strategy, and to remaining invested in the vibrant Indian e-commerce space,”
This way, Snapdeal has rejected Flipkart’s offer of $850-900 million, at a time when they are in desperate need of fresh funding. Snapdeal has already fired the majority of their employees and even left a prime office space to cut expenses.
