Thread by @startupmvs

2018:
We had seen WalMart acquiring 77% of Flipkart shares for $16 Billion despite the company suffering losses of $20 Billion FYI 2017-18

2022:
Despite having a profit of $2.5 Billion each year, Prosus/PayU withdraws its $4.7 billion deal to acquire India's BillDesk
#startups

#BillDesk:
Industry estimates indicate that BillDesk holds between 25 and 30 percent of the market for online payment aggregators

#PayU:
While PayU is the third-largest player in India with a market share of between 10 and 15 percent 2/6
#startupindia #startups #acquisitions

#BillDesk:Government as well as the Banking, Financial Services, and Insurance (BFSI) sectors are strongholds for BillDesk.

#PayU:
While many internet businesses prefer PayU as their preferred payment gateway. 3/6

#startupindia #startups #acquisitions #startupnews

What if the #BillDesk & #PayU deal has been done:

- Together, the two companies might have held 35 to 45% of the market share and

- Could be processing $147 billion in Total Payment Values (TPV),

Approx 45% market share, still Prosus pulled off. 4/6
#startups #startupnews

The possible reason for pull off:

The "abrupt move" that was predicted by observers was more or less due to the current global market correction, which made the deal from a year ago "overpriced." 5/6

#startups #startupnews #Mergers #VCFunding #Funding
economictimes.indiatimes.com/tech/newslette…

This ends what would have been the second-largest buyout of an Indian digital technology startup after Walmart’s $16 billion purchase of a majority stake in online retailer Flipkart in 2018.

Check out the info-graphics by ET Research Team.
#Startups #StartupNews #Fundraising

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