eBay, an American multinational e-commerce, based out of California, is, reportedly, ready to infuse funds in Paytm Mall, India’s largest digital transaction company, for a 5.5 per cent stake in the company.
While, according to the sources, the investment in Paytm Mall is expected to be to the tune of $170 million-$200 million, and the round values the e-commerce startup at $3 billion.
Also, the partnership will allow eBay’s inventory to be sold on the Paytm Mall’s platform.
“We are deeply committed to India and believe there is huge growth potential and significant opportunity in this dynamic market. This new relationship will accelerate our cross-border trade efforts in a rapidly growing market, providing hundreds of millions of Paytm and Paytm Mall customers with access to eBay’s unparalleled selection of goods,” Jooman Park, senior vice president, eBay, said.
“We are excited about our new relationship with Paytm Mall. This reinforces our commitment to invest in India and complements our existing import, export, and domestic platforms,” added Park.
eBay, based out of California, was founded by Pierre Omidyar in 1995. It is an American multinational e-commerce corporation that facilitates consumer-to-consumer and business-to-consumer sales through its website.
Whereas, Paytm Mall is a subsidiary of Paytm, which was founded in 2010 by Vijay Shekhar Sharma with an aim to bring an ease in the digital payments ecosystem across India.
The new relationship between the two companies benefits eBay sellers as well and provides them with the opportunity to reach new customers in a rapidly growing market while providing Paytm Mall customers a wide selection of global inventory that would normally be out of reach locally.
In the coming weeks, millions of products sourced from eBay sellers around the world will be available on the Paytm Mall shopping experience within the Paytm ecosystem, Paytm said.
Rudra Dalmia, Executive Director, Paytm Mall, stated, “This new strategic collaboration will ensure Indian consumers are given greater access to eBay’s vast selection of inventory. We’re excited about this relationship with eBay as our cross-border partner and investor and believe together, we will provide buyers and sellers an unparalleled opportunity to discover, engage, and transact on our platform.”
At present, Paytm Mall has close to 300,000 merchant partners and receives 225,000 orders per day, claim sources quoted above.