Tata Digital is awaiting CCI clearance for its purchase of BigBasket

According to a filing with the Competition Commission of India (CCI), Tata Sons Pvt. Ltd. aims to purchase a controlling stake in Alibaba Group Holding Ltd.-backed online grocery store BigBasket. If approved, the Tata-BigBasket transaction will pit the company against Amazon, Walmart’s Flipkart, and Reliance Retail’s JioMart, which is supported by billionaire Mukesh Ambani. Tata Digital Ltd., a wholly-owned subsidiary of Tata Sons, agreed to purchase 64.3 percent of an agency that manages BigBasket’s business-to-business revenues in legal filings with the CCI. The reports have previously announced that Tata Group intends to buy out Alibaba’s interest in BigBasket and gain ownership of more than 60% of the company. The legislation comes as India’s e-commerce revenues, particularly of grocery items, have inflated as a result of the Covid-19 pandemic, which has triggered a move to internet shopping. Competitors of BigBasket are projected to make significant investments in the e-grocery market. Flipkart recently revealed plans to upgrade to even more Indian markets, whereas Jio Platforms, Reliance’s digital arm, has elevated more than $20 billion in funding from capitalists which include Facebook and Alphabet Inc.’s Google.