Why is Tata Group raising its bet on its super app Tata Neu?

Trust the business house that started out with a textile mill and expanded to steel, hotels, aviation, automobiles, tea and salt, energy, communication, electronics and software, to test ever new boundaries. The latest for the Tata Group is on digital retail where it is trying to tap into India’s fast growing e-commerce space with its super app called Tata Neu. Tata Digital, which runs Tata Neu, might get $1 billion of fresh capital as the conglomerate seeks to improve its digital business, ET has reported based on information from people familiar with the matter.

The $1 billion injection will be on top of the $2 billion that Tata Group invested in the venture earlier this year, the sources told ET, asking not to be identified discussing information that is private. Tata Digital will receive the new funding in the coming year should a deal proceed. A representative for Tata Group declined to comment on the matter. Deliberations are ongoing and details of the capital injection could still change.