According to a report in the Economic Times (ET), the Tata group would transfer the ownership of Tata UniStore, which manages Tata Cliq, to Tata Digital, making it the only company for all online shopping endeavours.

The conglomerate invested 750 crore last week and raised Tata Digital's authorised capital from 20,000 crore to 21,000 crore. It was done to pay off debt and grow the company. The company's authorised capital was increased from Rs 15,000 crore to Rs 20,000 crore in September.

 The share capital was raised to Rs 15,000 crore in March from Rs 11,000 crore. Trent and Tata Industries jointly owned Tata UniStore. Tata Digital would provide Tata Industries and Trent preferred shares worth at Rs 750 crore. 

According to Mohit Yadav, founder of business intelligence company AltInfo, 'there are few few Tata businesses where capital has been deployed at such a war-footing and it reflects where the group's interests lie.' In the Indian e-commerce market, Tata Digital will face off against Amazon, Reliance Industries, Walmart-owned Flipkart, and Myntra. 

The Tata group, according to ET, is engaged in a pricing war with its competitors, offering discounts in industries like fashion, electronics, and cellphones. However, it is also losing money, much like its competitors. Despite a 137% increase in revenue, Tata UniStore's net loss increased to Rs 750 crore in FY22.

 Tata Industries and Trent previously shared a combined ownership of Tata Unistore, with the former owning 96.78% of the company. According to the most recent regulatory filings, Tata Group values UniStore at Rs 750 crore, and Tata Digital would give Trent and Tata Industries preferred shares in exchange for the acquisition.