Online marketplace eBay on Wednesday said it has invested an undisclosed sum in ecommerce firm Snapdeal and has entered into a commercial partnership with the company.
While the US-based firm did not reveal the amount of investment, market sources said the deal size may be $30-50 million, which also includes investments by a Japanese firm.
"The partnership seeks to drive more consumer demand for eBay and Snapdeal merchants along with wider selection for India consumers in a rapidly growing market," eBay said in a statement.
The firm, however, did not provide any more information on the deal or the investors.
Quoting the Internet & Mobile Association of India research, eBay said Indian ecommerce Market is projected to grow from approximately $1.2 billion in 2012 to $1.8 billion in 2013.
"The growth of online shopping in India is at an exciting phase. We chose to partner with Snapdeal due to their complementary business model, good management team and strong brand," eBay Asia Pacific Senior Vice President and Managing Director Jay Lee said.
Founded in 1995, eBay is one of the world's largest online marketplaces with over 100 million active users.
Launched in February 2010, Snapdeal employs over 1,500 people and delivers to more than 5,000 cities and towns in India.