Online marketplace Snapdeal has acquired marketplace for Indian designer another niche marketplace for handcrafted products Shopo.in, for an undisclosed amount of funds. Shopo was backed by investors including Sequoia Capital, Sashi Reddi, SRI Capital and Seeders, among other angels.
The acquisition will provide Shopo’s sellers opportunity to offer its products to Snapdeal’s 20 million members. It will merge sellers with Snapdeal and the portal will be closed down.
Founder and CTO of Shopo, Theyagarajan S, is confident that Snapdeal will give its sellers a larger audience that would love the ethnic and Indian design products that Shopo has.
As per media reports, Shopo was looking for funds since September last year, but failed to raise funds. The acquisition can thus be termed as a sellout by the company itself and not an hostile takeover. For Snapdeal it can be called in as a strategic acquisition so as to bring in sellers with handicraft products on board.
Shopo was founded by Theyagarajan S & Krithika Nelson in 2011, Kritika Nelson had quit the company last year due to health reasons.