Walmart has released how Flipkart stole its heart, and a $16 billion, in its entry to Indian retail market. The deal, which has been discussed constantly in global media, is the largest even in e-commerce, as well as in Indian startup ecosystem.
Walmart’s presentation below talks about the size of Indian economy and its retail market, its growth, and the vast opportunities it provides. The US-based company has gone into details about their strategy, internet penetration and the growing number of online shoppers in India, as well as the leadership and partners they gain from Flipkart.
“While the immediate focus will be on serving customers and growing the business, Walmart supports Flipkart’s ambition to transition into a publicly-listed, majority-owned subsidiary in the future,” Walmart has said in the presentation.
The deal is expected to close later in FY2019, subject to regulatory approval from Competition Commission of India. However, now on, Flipkart’s financials will be reported as part of Walmart’s International business segment.
In their financial highlights, they have highlighted the following:
Walmart goes on to add that in the mid to long term, they are expecting losses to decline and returns to improve. “Given Walmart’s financial strength, we anticipate the continuation of our current share buyback program, while maintaining our strong credit profile,” it says.
Find out below other highlights of the presentation: