"As both the companies are privately held, they have decided not to disclose the deal value," a Flipkart spokesperson told IANS.
The deal is estimated to be worth about $300 million (Rs.1,740 crore), according to sources involved in the deal.
The deal is expected to bring into the country high quality and affordable lifestyle products to Indian customers from worldwide.
"As we believe the future of fashion in India is e-commerce, the deal will strengthen our positions in the fashion space though we will work as separate entities to grow as leaders in the Indian fashion and lifestyle industry," Flipkart co-founder Sanjay Bansal said on the occasion.
The city-based Myntra has over 650 partners marketing leading fashion and lifestyle brands across the country.
Post-acquisition, Myntra co-founder Mukesh Bansal will join the Flipkart board of directors and its fashion business.
"We are privileged to be associated with Flipkart, a powerful e-commerce brand, with an agenda to build the next-generation of retail in the Indian sub-continent," Bansal said.
As the largest e-commerce platform, Flipkart offers a whopping 15 million products across 70 categories and claims to have 18 million registered users, with around 3.5 million hits a day.
"We have been able to ship about five million goods per month by hosting about 3,000 sellers on our e-platform run by about 10,000 people across the country," Myntra's other founder Ashutosh Lawania said.