BENGALURU: The Tata group’s foray into the India’s growing e-grocery market has been sealed with the Competition Commission of India on Thursday giving its nod to its $1 billion acquisition of BigBasket. In a statement, the CCI said that it has given its approval for Tata Digital, a subsidiary of Tata Sons, acquiring 63.4 per cent acquisition of Supermarket Grocery Supplies Ltd, a B2B entity that owns online retail firm BigBasket.
The deal, sources say, values BigBasket at over $1.8 billion and is likely to provide an exit to both majority and minority stake holders in the internet company, such as Chinese internet giant Alibaba. Tata Digital is also in the process of taking on the likes of Vijay Shekhar Sharma’s Paytm in developing India’s first ‘super-app’ and is already in talks to acquire e-pharma start-up 1mg.
The other major player in the super-app race is Mukesh Ambani’s Reliance, which forayed into the e-grocery market with the launch of the Jio app last year and has also acquired online pharma firm NetMeds. Tata already has a presence in the online fashion and electronics segments with its TataCliq platform. Industry analysts said that the acquisition of Big Basket will further boost the conglomerate’s e-commerce ambitions.