Snapdeal has reportedly raised $627 million (INR38.4 billion) in an equity round led by SoftBank, bringing its 2014 funding total to over $860 million (INR52.6 billion) and its to-date total past $1 billion (INR61.2 billion). Snapdeal operates as a marketplace, providing a space for companies of any size to sell their products directly to consumers. Founded in 2010, it already has over 50,000 merchants selling through its site, doing more than $2 billion (INR122.3 billion) in sales annually. Previous investors include Bessemer Venture Partners, Nexus Venture Partners and Kalaari Capital, among others.
As the middle-class and Internet penetration expand in China and India, the two most populous countries in the world, e-commerce continues to boom. China's Alibaba (NYSE: BABA), which is rumored to be in talks with Snapdeal concerning an investment, is currently trading with a market cap over $240 billion after raising $25 billion in its IPO; and in a market battle with Snapdeal and Flipkart, Amazon (NASDAQ: AMZN) recently pledged to invest $2 billion in order to expand its operations in India, where annual online sales are reportedly projected to hit $30 billion by 2020.