Robinhood invests $3M to buy up Indian stocks

RUBION, Nov 10 (Reuters) – Russian online marketplace Robin Hood, which has been dubbed the world’s largest marketplace for buying and selling digital assets, has bought a majority stake in Indian software giant Infosys.

The company, which is owned by technology giant Amazon, said on Wednesday it had agreed to buy an 18.6 percent stake in Infosy for $3 million.

“We are very excited about the growth opportunities offered by Infosie,” said Sergey Svetlakov, the chief executive officer of Robin, in a statement.

Robin’s $3.3 million investment will give the company access to about $8.7 billion of investments in the Indian economy.

The purchase of the stake in the world leader in online commerce and technology marks a major boost for the firm, which already has stakes in a number of digital businesses.

Roinys founder and CEO Sergey Karpathy told Reuters in an interview on Wednesday that he expected to spend $8 million buying the stake, which would give him a stake in more than 1,000 companies and $8 billion in the company’s operations.

The investment was part of a plan by the company to diversify its business into digital assets that it is building to meet increasing demand for the services it offers, including cloud computing, payments and real estate.

In an interview with Reuters in October, Karpathys said he expected Robin to invest $1.5 billion in new business in the next five years.

He also said that the firm would build out its online portfolio to focus on areas where it can make a profit, such as cloud computing and online payments.

The acquisition of Infosia, which recently announced it would shut down its US operations, marks the second time in less than two years that the tech giant has acquired a stake.

Infosiya announced in February it was shutting down operations.

Infosia bought a stake of 23 percent in rival e-commerce giant Flipkart for $1 billion in August, as part of an $11 billion deal to expand into India.

The move to buy a majority of Infoys shares is the latest in a string of deals by Robin for digital assets.

Last year, the company acquired a majority share of Chinese online retail giant Alibaba for $2 billion.

Earlier this year, it acquired a minority stake in Italian e-retail giant Fosco for $10 billion.

Last month, it also agreed to sell a 49 percent stake of Chinese e-book giant Baidu for $600 million, a deal that was not approved by the government.

The Robin purchase comes as the Indian government is preparing to lift a blanket ban on foreign investment in internet and e-services companies.

Related Post