One of the world’s largest E-commerce giant, Amazon Inc has acquired the 49% of the shares in Witzig Advisory Services, which also owes ‘More Supermarket stores.”
In a filing with Registrar of Companies (RoC), Witzig said that “Amazon has acquired 17% of class A shares in the company and the rest 32% through Class B shares which has the differential voting rights (DVR).”
The filing also said that “Each share of Class A will have one vote, while the Class B shares don’t carry any voting rights.”
“With this 17% of the Class A share, Amazon now caps 17% voting rights in the Witzig company.”
The 32% shares of Class B will allow the Amazon to meet with the new FDI norms which came into effect from Feb 1, 2019.
The new e-commerce guidelines prohibit a foreign entity running a marketplace as well as its group companies from equity participation in any of the sellers or having control over their inventory.