Online marketplace ShopClues, which has been struggling to stay afloat in the past few months, has announced its merger with Singapore-based Qoo10 Pte.
This was confirmed in a statement released by the company recently.
Qoo10 is a successful e-tailer in South East Asia, with a market place that connects small and medium enterprises with consumers through its localised online marketplaces in Singapore, Indonesia, Malaysia, Hong Kong and China.
It further has plans to expand to other Asian countries.
Both the companies agreed on a stock deal for the merger, which will present them with opportunities to sell in each other’s domains and areas.
Qoo10 can utilise ShopClues’ band of more than 700,000 sellers in India and use its own cross border logistics business to access the large Indian market with their high-quality, value-for-money products.
The Indian e-commerce player, on the other hand, can gain access to international markets.
Notably, the merger has been approved by board of directors and major shareholders of both companies.
Previously, ShopClues had laid off about 200 employees as it struggled to rein in costs in the face of stiff competition from big players in the industry.
