Zomato and Blinkit will be soon; Myntra plans the live trade blitzkrieg

In March, we reported that Zomato had held talks to acquire Blinkit, formerly Grofers, as it sought to gain a foothold in India’s vibrant fast-trading segment. The food delivery company, which already owns about 10 percent of Blinkit, is now expected to sign the acquisition at a June 17 meeting, the sources tell us.


Credit: Giphy

So in this letter:

■ Myntra relies heavily on live trading for its late summer sales
■ Mumbai is India’s most forgetful city, the Uber report says
■ VCs continue to bet on Indian and Southeast Asian startups

Zomato will likely sign the deal with Blinkit on June 17th


Zomato is likely to convene an extraordinary general meeting on June 17 at authorize the acquisition of the Blinkit fast-trading startup, two sources aware of the discussions told us.

Long courtship: The news comes nearly two years after the two entities first discussed a potential acquisition.

Zomato previously invested in Blinkit and extended a loan up to that amount to $ 150 million for the quick trade entity earlier this year.

Deal Details: According to sources, the deal is tied to a number of Zomato shares that Blinkit investors will receive.

  • Blinkit investors are also expected to have a six-month lockdown period, one of the sources said.
  • After the deal, Blinkit shareholders are expected to get a just under 10% stake in Zomato.
  • Blinkit’s largest investor, SoftBank Vision Fund, will get a nearly 4% stake in Zomato, one of the sources said.

We reported on March 15, citing sources, that the deal was Blinkits are expected to value between $ 700 and $ 800 million based on Zomato’s market capitalization at the time. It was lower than Blinkit’s previous valuation by just over $ 1 billion. Additionally, Zomato shareholders are expected to obtain 10 Blinkit shares for each held in their company, as previously reported.

Pay attention to the costs: Zomato tried to break into the fast-paced retail space after abandoning plans for online grocery delivery twice since the start of the pandemic in 2020. But during its investor call in May, the first since it became publishes last year, CEO Deepinder Goyal said the company was “very aware” not to overpay for Blinkit.

Myntra focuses heavily on live trading for the late summer sales


Online fashion retailer Myntra will do big in live trading during its late summer eventcalled End of Reason Sale, June 11-16.

“Over 1,000 live sessions hosted by over 2,500 influencers, 750 of which are brand-led, will be on M-Live … [it] it will be an important part of EORS, “Myntra CEO Nandita Sinha told ET.

Great expectations: Sinha said the company expects to see five million customers transacting during the six days of the sale, of which more than one million are expected to be new customers. About 40% of customers will be from Tier 2 and Tier 3 cities, she said.

Myntra expects a 26% traffic increase for sales this year over last year and a significant increase for its beauty and personal care business.

“This year’s EORS has come at an opportune time where customers are leaving after nearly two years. This has given a great impetus to fashion in general and we hope to see that momentum, ”said Sinha.

Areas of interest: In his first interview after taking up the position of CEO, Sinha told us on February 24th that personalization, influencer-driven live commerce, beauty and personal care would be key areas of interest for Myntra’s management team.

Competition: Myntra has seen increased competition in the Indian online fashion space, which it has long dominated.

  • Reliance’s Ajio has made significant progress since the start of the pandemic and has emerged as a second significant player in the market.
  • Beauty retailer Nykaa also said she wants to sell fashion brands.

Mumbai is India’s most forgetful city, says Uber’s lost property report


Uber has released an interesting snapshot of the articles its customers most commonly forget in taxis. The Uber Lost of Found Index India 2022 also lists India’s most forgetful “cities” and the times of day, days of the week and times of the year when Uber riders tend to be the most forgetful.

Mumbai tops India’s list of most “forgetful” cities for the second consecutive time, the report said. It was followed by Delhi and Lucknow. He said the most “forgetful” hour of the day for Indians was 1:00 to 3:00 pm.

Forgotten items in Uber

Over the past year, the five most commonly forgotten items were phones / cameras, laptops, backpacks, wallets, and speakers, the report said.

Besides the usual, the Indians also left some unique and unusual items in the Uber taxis. These included ghewar (an Indian sweet dish), flutes, Aadhaar cards, dumbbells, the handle of a bicycle, cricket bats, spiked guards, and college certificates, to name a few.

The report also provided information on which items are most forgotten on certain days. For example, people are very likely to forget their clothes on Saturdays, laptops on Wednesdays, and headphones / speakers on Mondays and Fridays.

VCs continue to bet on Indian and Southeast Asian startups

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Despite the poor performance of growing startups, Indian and Southeast Asian VC funds they have raised $ 3.1 billion so far this year, according to London-based investment data firm Preqin. By comparison, China’s VCs raised $ 2.1 billion, down from last year’s $ 27.2 billion.

What is filling the interest? Nikkei Asia reported last week that venture capital firms backing startups in India and Southeast Asia are raising record amounts for new funds as investors move away from China.

Many investors see startups in these regions as a safer bet than their Chinese counterparts, especially after China’s crackdown on the tech sector last year.

These companies find India and Southeast Asia to be attractive investment options due to their growing middle class, young population, and increased digital adoption.

Yes but: He recently celebrated the company VC Sequoia Capital has postponed the closure of its $ 2.8 billion India and Southeast Asia fund after alleged financial irregularities and corporate governance problems in some of its portfolio companies.

Tweet of the day

China concludes the Didi investigation, revokes the ban on new users


Chinese regulators are concluding their investigations into public transport giant Didi Global and are ready to do so allow its apps to return to national app stores after over a year, reports the Wall Street Journal.

Angry regulators: Didi, which was listed in the United States last year, ran into trouble after Chinese regulators said the company had illegally collected users’ personal data. An investigation against the company was launched and Chinese app store operators were asked to remove its apps.

Authorities also told the company to stop registering new users, citing national security and public interest.

The company had to stop its Hong Kong listing plans earlier this year, after regulators did not appear.

Big penalty in advantage: With the investigation nearing completion, Didi is expected to receive a hefty fine from regulators. last year, Alibaba received a record $ 2.8 billion fine at the height of China’s crackdown on its tech giants.

Today’s ETtech Top 5 newsletter was edited by Zaheer Merchant in Mumbai and Ruchir Vyas in New Delhi. Graphics and illustrations by Rahul Awasthi.