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E-commerce company Flipkart has raised $600 million at a valuation around 5-10 percent higher than that of American retail giant Walmart. Confirming this, the company said it has raised $600 million from Walmart. Sources said the amount came at a higher valuation in the range of five-10 percent without disclosing the actual figure. Flipkart did not comment on the company’s valuation after its recent fundraising from its parent company.
What are the details?
Flipkart was last valued at $37.6 billion or Rs. 2.79 lakh crore while it raised $3.6 billion (roughly Rs. 26,800 crore) from GIC, Canada Pension Plan Investment Board, SoftBank Vision Fund 2, Walmart, DisruptAD, Qatar Investment Authority, Tiger Global etc. crores of rupees) were collected. Another source said the company’s valuation is still below $40 billion.
In the last financial year, the company’s consolidated net income grew by 9.4 percent to Rs. 56,012.8 crores. In the financial year 2021-22 it will be Rs. 51,176 crores. Despite the increase in total revenue, Flipkart’s consolidated loss in FY2022-23 widens to Rs. 4,890.6 crore as compared to Rs. 3,371.2 crores.
Once listed, Sachin Tendulkar will make a profit of ₹23 crore! The IPO created a frenzy in the gray market, oversubscribed 80 times
Walmart supports
Walmart also facilitated a one-time payment of $750 million for Flipkart employees earlier this year. This was after PhonePe’s funding round and separation from the Flipkart group. The new capital will help Flipkart deepen its reach in India and double existing businesses. Let us tell you that after the exit of early investors like Tiger Global, Accel, Walmart now has 80.5% stake in Flipkart.