In a major boost to e-commerce investment in India, Axel Springer AG has acquired 19.1% stake in lifestyle marketplace BagItToday.com, which is a portal owned by the India Today Group. Axel Springer has also acquired the option of increasing its 19.1% investment to a majority stake in the coming years.
Axel Springer, the Germany based multimedia group, already have a relationship with India Today group as the two have been jointly publishing the Indian edition of automotive magazine AUTO BILD since 2008.
Ralph Buechi, President, Axel Springer International at Axel Springer AG, said in a statement: “In pursuit of our digitisation and internationalisation strategy, we are now taking the next growth steps in a dynamic, fast-growing market. Together with the India Today Group, we are investing in highly promising online growth sectors."
The Axel Springer's investment in the e-commerce portal would strengthen the competition in the Indian e-commerce market which has been seeing a lot of action.
BagItToday has more than than 3 million registered users, according to a release.