Amazon has recently acquires 5 percent stake in fashion retailer Shoppers Stop, the e-commerce giant gave official confirmation on Saturday and also stated that as they are planning to expand its presence in India and focusing on the bricks and mortar market.

During the conversation, Shoppers Stop mentioned that “its board of directors has approved an arrangement with Amazon.com NV Investments Holdings LLC, as part of which the fashion retail company will raise Rs. 179.26 crore ($27.6 million) from Amazon.com’s subsidiary and issue a five percent equity share to the e-commerce giant’s subsidiary in exchange. The board, Shoppers Stop said in a filing on Indian stock exchange BSE, has also proposed to hold an extraordinary general meeting of the company on October 18, 2017 to seek approval of the shareholders.”

However, it’s happening for the first time that Amazon has proposed to invest in an offline fashion retail in India. This move might increase the rivalry with Flipkart because they also owns fashion e-commerce companies Myntra and Jabong.

Recently, Shoppers Stop has stated that the company had entered into an exclusive partnership with Amazon Seller Services, as part of which it would have a flagship store on the Amazon marketplace, to push their limits and attract more customers by providing world class services. The company also said they are planing to sell their entire portfolio of around 400 products across apparel, footwear, and other categories on Amazon.in website. The move came two years back, when Shoppers Stop had entered into a similar agreement with Snapdeal.com

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Posted by TECHITIMES

Our team covers news and updates related to Technology, Gaming and Hacking.

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