Tata eyes majority stake in BigBasket.
                     TATA EYES MAJORITY 
STAKE IN BIGBASKET
INTRODUCTION
• THE TATA GROUP IS IN ENERGETIC DISCUSSIONS TO 
TAKE A CONTROLLING STAKE IN BIGBASKET BY 
SHOPPING FOR OUT A NUMBER OF PRESENT BUYERS OF 
THE WEB GROCER.
Source: morningupdates.com
INVESTMENT
• IF THE TALKS ARE PROFITABLE, TATA GROUP MIGHT 
PAY ROUND $500-700 MILLION IN MONEY TO A 
CLUTCH OF MONETARY BUYERS, PRIMARILY PERSONAL 
FAIRNESS FUNDS AND CHINA’S ALIBABA GROUP, 
BIGBASKET’S LARGEST INVESTOR.
Source: morningupdates.com
CONTROLLING STAKE
• BIGBASKET’S EXISTING INVESTORS ARE NOT AVERSE 
TO THE IDEA OF SELLING A CONTROLLING STAKE TO 
TATA GROUP, THEY ALSO WANT THE CURRENT 
MANAGEMENT, LED BY THE FOUNDERS, TO REMAIN AT 
THE HELM.
Source: thenationaldawn.in
HIT THE IPO
• INVESTORS ALSO WANT BIGBASKET TO HIT THE IPO 
(INITIAL PUBLIC OFFERING) MARKET BY THE NEXT 
CALENDAR YEAR, IRRESPECTIVE OF TATA’S COMING ON 
BOARD.
Source: thenationaldawn.in
COMPETITION
• THE DEAL, IF STRUCK, WILL GIVE TATA GROUP AN 
IMMEDIATE HEAD-START TO TAKE ON THE THREE BIG 
PLAYERS IN INDIA’S THRIVING ONLINE GROCERY 
MARKETPLACE: RELIANCE INDUSTRIES LTD, WALMART-
OWNED FLIPKART AND AMAZON.
Source: thenationaldawn.in
PRIVATE EQUITY FUNDS
• ALONG WITH TATA GROUP, PRIVATE EQUITY FUNDS 
TEMASEK AND GENERATION INVESTMENT 
MANAGEMENT, TOO, WERE IN DISCUSSIONS TO INVEST 
IN BIGBASKET.
Source: thenationaldawn.in
COVID-19 PANDEMIC
• BIGBASKET HAS SEEN STRONG TAILWINDS DUE TO THE 
COVID-19 PANDEMIC, ATTESTING INDUSTRY 
ESTIMATES THAT GROCERY WILL BE THE BIGGEST 
DRIVER OF ONLINE E-COMMERCE, CONTRIBUTING 40% 
TO GROSS MERCHANDISE VOLUME BETWEEN 2019 AND 
2024.
Source: thenationaldawn.in
ONLINE GROCERY
• BIGBASKET, WHICH HAS THE BIGGEST MARKET SHARE 
IN THE ONLINE GROCERY SPACE, SAW NEW 
CUSTOMERS ON ITS DELIVERY PLATFORM INCREASING 
BY 84% BETWEEN JANUARY AND JULY, WHILE THE 
RETENTION RATE OF CUSTOMERS GREW 50%.
Source: thenationaldawn.in
TREMENDOUS APP BY TATAS
• TATA GROUP IS MAKING READY A BRAND NEW 
PLATFORM, AIMED FOR A DECEMBER OR JANUARY 
LAUNCH THAT CAN PUT COLLECTIVELY VARIOUS 
CHOICES ON A SINGLE PLATFORM, CALLED A 
“TREMENDOUS APP” BY THE TATAS.
Source: yourstory.com
WHAT DOES IT MEAN FOR INDIA’S BOOMING RETAIL 
MARKET?
• ONCE THE DEAL IS THROUGH, TATA GROUP WILL BE WELL 
POSITIONED TO COMPETE WITH THE BIGGEST E-
COMMERCE COMPANIES WHICH ARE BETTING ON 
INDIA’S GROWTH STORY.
• BIGBASKET HAS BEEN GOING STRONG IN RETENTION OF 
CUSTOMERS AND REMAINS THE BIGGEST MARKET 
SHARE IN THE ONLINE GROCERY SPACE.
Source: news.abplive.com