Mubasher: Walmart Inc is in negotiations with Tata Group over an investment of $20-25 billion in the Indian conglomerate’s proposed super app, people familiar with the matter told the Mint newspaper.
Tata’s consumer businesses, including healthcare, grocery, insurance, financial services, fashion, and electronics , will be brought together under one channel in the app, planned to be launched in India in December or January.
“Walmart is keen to get a strong brand backing its e-commerce business, while Tata group wants a global name and an established player in the online space to boost sales of products currently sold through Tata group’s retail subsidiaries and online platforms to be able to compete against Reliance Industries’ Jio Platforms and Amazon," a source told the newspaper.
The super app is valued at about $50-60 billion, the source added.
If a deal is reached, it will be the largest investment in the country’s retail sector, surpassing Walmart’s purchase of a 66% stake in Flipkart for $16 billion.