A top exec exits India’s Snapdeal online marketplace
April 13, 2015 03:01 PM
(Bloomberg)—Snapdeal.com, the Indian web marketplace backed by billionaire Masayoshi Son’s SoftBank Corp, said Chief Financial Officer Aakash Moondhra, 41, is set to leave his role to pursue other interests.
Moondhra, who has been in his post since June 2012, will transition to an advisory position at the company, Snapdeal said in an emailed statement Monday.
Snapdeal, one of India’s three biggest e-commerce companies and No. 47 in the Internet Retailer 2015 Asia 500 Guide, began as a coupon platform similar to Groupon Inc. when it was founded in February 2010, and later evolved into a marketplace for everything from underwear to smartphones. During Moondhra’s tenure, the New Delhi-based company raised about $1 billion from investors including SoftBank, Indian billionaire Azim Premji’s investment unit and Singapore’s Temasek Holdings Pte.
Online sales in India are exploding, and Gartner Inc. projects the market will grow 70% to $6 billion in 2015. Competition among the top three web marketplaces has intensified as the companies have received $3.6 billion in funds in the past 10 months. The three companies—Flipkart.com, Amazon.com Inc. and Snapdeal—have used the funds to wage a price war, build more warehouses, hire hundreds of engineers and acquire startups.
Prior to Snapdeal, Moondhra worked at discount retailer V-Mart Retail Ltd., Bharti Retail Pvt. and Baring Private Equity.
Snapdeal last week acquired payments provider Freecharge, while Bengaluru-based Flipkart last year bought apparel e- retailer Myntra.com for about $330 million.
None of India’s major e-commerce companies are profitable. Losses for both Snapdeal and Flipkart more than doubled in the year ended March 2014. Snapdeal’s parent posted losses of 2.64 billion rupees ($42 million), while Flipkart’s two main entities lost 7.16 billion rupees in the same period, according to filings with India’s Registrar of Companies.