Flipkart Group said it’s raised USD 3.6 billion in funding led by Singapore’s sovereign wealth fund GIC, CPP Investments, SoftBank Vision Fund 2, and Walmart, valuing the e-commerce giant at USD 37.6 billion. the company, which competes with Amazon, Reliance Industries’ JioMart et al inside the burgeoning Indian e-commerce market, said it’ll still make deeper investments across people, technology, supply chain, and infrastructure to deal with the wants of a rapidly growing consumer base within the country. While the details about the investment made by these entities exclusively were not unveiled and sources said Canada pension account Investment Board pervaded about USD 750-800 million, while SoftBank has propelled about USD 500 million.
SoftBank had sold approximately 20 percent of its share when Walmart bought a 77 percent stake in Flipkart for USD 16 billion in the year 2018. As we serve our consumers we’ll specialize in accelerating growth for many small and medium Indian businesses including Kirana Flipkart Group Chief military officer Kalyan Krishnamurthy said.
Flipkart will still invest in new groups and leverage made-in-India technology to revise consumer experiences and develop a world-class stock chain he added. Flipkart now ranks among the highest 10 global e-commerce companies in terms of market cap.
The Flipkart Group includes Flipkart, Myntra, and Ekart. The group is moreover a majority shareholder within the digital payments platform PhonePe. E-commerce has witnessed massive growth within the country over the past few years. E-commerce platforms are ramping up capacities and hiring actively to cater to the expansion in orders.
Flipkart is reportedly working towards an IPO, albeit the corporate has not revealed a selected timeline for an equivalent.
Flipkart, in its statement on Monday, said it’ll still make deeper investments across people, technology, supply chain, and infrastructure to deal with the wants of a rapidly growing consumer base in India.
A key focus area of the group is to assist informal commerce segments to leverage the facility of technology, it noted. As one among the leaders within the fashion segment, this suggests working with the style industry and helping small businesses explore untapped opportunities that technology presents. Through its expanding grocery and last-mile delivery programs, the group also will work with Kiranas to assist them to digitize and grow.
Lydia Jett (SoftBank Investment Advisers Partner) said that its re-investment in Flipkart is driven by its experience with and conviction within the company’s management team to continue addressing the requirements of the Indian consumer within the decades to return.
Judith McKenna the President and CEO of Walmart International approved that Flipkart has continued to modernize within the categories and services Indian customers want most, creating new jobs and growth opportunities for Indian entrepreneurs and little businesses alongside them.