Tata Group, one of India's largest conglomerates, which sells almost everything, is looking forward to buying a stake in IndiaMart InterMesh Ltd., a business-to-business marketplace. However, IndiaMart has not made anything public. IndiaMart controls 60% of the Indian online B2B classified market, providing a platform to small and medium enterprises. It was founded in 1999 and currently has 3,150 employees located across 84 offices across the country.
Just after the news, IndiaMart's shares have surged up to 142% in Mumbai this year, giving it a market value of about $2 billion. Apart from this, BigBasket is too under the radar of Tata to expand its e-commerce business. The Tata Group will launch its Super App in January next year, combining all its product and services.
The Tata Group is looking to acquire various local e-commerce assets for its scheduled app launch to rival Amazon, Flipkart, and Jio Mart. Tata has long been focusing on its offline business, and a very wide range of products like Starbucks, Star bazaar supermarkets, Taj Hotels, Tanishq Jewelry, Titan Watch, etc. Apart from seeking small firms' acquisitions, it is also in talks to reach out to potential investors for its much ambitious online ecommerce venture.
Tata's digital platform will center around an all-in-one e-commerce app that aims to bring disparate online businesses of its entrenched consumer units under one umbrella. It has a very diverse business, and most people in India use its services without knowing about it. Tata has a habit of keeping its name private when partnering with reputed foreign brands like Starbucks, AirAsia India, Vistara, Jaguar, Land Rover, etc. With the Super App launch, at least, people will get to know all the products and services offered by Tata in a straightforward way through the app.
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