Flipkart-owned Myntra announced that it has acquired Jabong from Global Fashion Group. This move is said to mark further consolidation in India's booming e-commerce industry.

"Global Fashion Group (GFG) has entered into a definitive agreement to sell Jabong, its Indian business, to Flipkart Group for US$70 million in cash", the company said in the press release.

Following a strategic review of its Indian operation, the GFG Board concluded that Jabong's position as India's leading fashion e-commerce destination would be best served through a business combination with a local player, GFG added.

In 2014, Myntra was acquired by Flipkart in an estimated Rs 2,000 crore deal.

"The acquisition of Jabong further strengthens Flipkart Group's position as the undisputed leader in Fashion and Lifestyle segment in India. Jabong is among India's major fashion multi-brand e-store with more than 1,500 on-trend international high-street brands, sports labels, Indian ethnic and designer labels and over 1,50,000 styles from over a thousand sellers," Myntra said in a statement to PTI.

Fashion and lifestyle is one of the biggest drivers of ecommerce growth in India. We have always believed in fashion and lifestyle segment and Myntra's strong performance has reinforced this faith," Flipkart CEO and co-founder Binny Bansal said.

This acquisition is a continuation of the group's journey to transform commerce in India, he added.

Jabong has been in the market for a sell-off and was in discussion with companies including Future Group, Snapdeal and Aditya Birla-owned Abof among others, media reported.

Jabong was founded in 2012. In September 2014, its investor, Rocket Internet merged Jabong with four other online fashion retailers in Latin America, Russia, the Middle East, South-east Asia and Australia to create Global Fashion Group (GFG).

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