Amazon sells 4% stake in Shoppers Stop for ₹276 crore, exits Indian retail chain

Global e-commerce giant Amazon has exited Indian retail chain Shoppers Stop, selling its 4% stake for ₹276 crore in an open market transaction on Wednesday. The move signifies a key shift in Amazon’s investment strategy in India.

Through its investment arm, Amazon.com NV Investment Holdings, the company offloaded approximately 44 lakh shares of the Mumbai-based department store chain at an average price of ₹627.60 per share, according to block deal data from the National Stock Exchange (NSE).

The shares were purchased by a mix of institutional investors, including 360 One Asset and Wealth Management through its affiliates, as well as Kotak Mahindra Mutual Fund, Tata Mutual Fund, and Morgan Stanley, all at the same price.

Following the announcement, Shoppers Stop’s stock closed at ₹635.15 on the NSE, a 1.20% increase, reflecting positive investor sentiment.

Amazon first invested in Shoppers Stop in January 2018, acquiring shares worth ₹179.26 crore through its investment arm. The partnership had marked a strategic alignment at the time, aimed at enhancing Amazon’s offline retail presence in India.

The sale of its stake indicates a realignment of Amazon’s investment priorities in India, as it continues to focus on its e-commerce and web services businesses in the country.