With online grocery picking up steam in the post-COVID world, e-commerce player Paytm Mall is reportedly mulling expansion by eyeing a stake in Grofers. The company is in talks with Grofers for a potential investment in a bid to build up its grocery vertical, online portal Entrackr reported citing three people familiar with the matter.
SoftBank is steering the conversation as it is a common investor in both Paytm Mall and Grofers. The ongoing discussions may even lead to a merger. “SoftBank does not have any fresh capital, so it is looking to push consolidation and an investment or a merger between Grofers and Paytm Mall is something that will work,” The Economic Times reported citing a person aware of the development.
Paytm Mall is also eyeing an investment in subscription commerce platform Milkbasket, the report added.
Last month, speculations were rife that food delivery and restaurant discovery platform Zomato is reportedly in talks with e-grocer Grofers for a merger. However, at this point, it is unclear what has happened to the merger talks with Zomato.
