Walmart looks to raise up to $3B for Flipkart: Report
Flipkart is currently valued at over $40 billion and may dilute around 7% for raising as much as $3 billion, the report said.
Walmart-owned ecommerce platformis reportedly considering raising $2-3 billion at a valuation of more than $40 billion to expand its product range in India and challenge rivals.
“Walmart may prefer to bring strategic investors into Walmart-Flipkart through this fundraising, unlike in the last round. However, Walmart-Flipkart is also open to selling to large pure-play investment firms," one of the two with direct knowledge of the matter told Mint.
Flipkart is currently valued at over $40 billion and may dilute around 7% of its stake for raising $3 billion, the report said.
The report also cited a Flipkart spokesperson saying that the startup had no such plans.
YourStory has not independently verified the development.
Flipkart last raised $3.6 billion from SoftBank Vision Fund 2, Tiger Global, Walmart, and other sovereign funds at a post-money valuation of $37.6 billion in July 2021.
Out of this capital, the Walmart-owned marketplace is left with about $700-800 million while the rest has been deployed, according to the report.
Earlier this month, Flipkart announced the launch of Flipverse—a metaverse space where consumers can discover products on a photorealistic virtual destination and shop on Flipkart.
According to a report by Redseer Strategy Consultants, Flipkart commanded a 62% market share of the total sales made during the first phase of the online festive season sale in 2022. The report also said that in terms of order volumes, Flipkart Group companies held a market share of 49%.
Edited by Kanishk Singh