Walmart-backed Indian e-commerce giant Flipkart has held discussions over potentially acquiring the on-demand delivery platform Dunzo, TechCrunch reported on Tuesday, citing people familiar with the matter.
While talks are still ongoing, complexities surrounding Dunzo’s ownership structure are posing a challenge for the two parties to come to an understanding over a deal, the report said.
The hyperlocal delivery startup Dunzo is backed by Reliance Retail, which picked up a 26 percent stake in 2022 for $200 million.
Cash-strapped Dunzo is also backed by Alphabet’s Google. In October 2023, Quick commerce platform Dunzo’s co-founder Dalvir Suri quit the company at a time when the startup was facing a funding crunch, delayed payments to employees and layoffs.
At the time Dunzo said in a statement, “We are making some org-wide changes in restructuring our business starting this quarter, and the DMS business (Dunzo Merchant Services: B2B vertical) has very capable leadership that’s picking up directly after him.”
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