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The country’s leading e-commerce company Flipkart is gearing up to raise a new fund of around $1 billion. At the same time, Walmart has pledged $600 million to Flipkart. Besides American retail giant Walmart, other existing and new investors are also in talks to join the funding round, sources said. Let us tell you that Walmart is the largest shareholder in Flipkart.
An Economic Times report has quoted sources as saying that talks are underway with new investors who want to participate in this round. This could rise to $1 billion. A Flipkart spokesperson confirmed Walmart’s backing but declined to comment on the fundraising talks.
First fundraising since 2021
This will be the first fund raising for Flipkart since 2021, when the company raised $3.6 billion. Flipkart was valued at $37.6 billion in the year 2021. However, this news about Flipkart comes at a time when Indian startups and unicorns are struggling to raise funds. Funding in Indian startups fell to $7 billion, the lowest in seven years, due to rising interest rates in the US and uncertain macroeconomic conditions.
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.