Flipkart Valued At $37.6 Billion After Raising $3.6 Billion In The Latest Round Of Funding

Flipkart announced on Monday it has raised $3.6 billion at a post-money valuation of $37.6 billion in what is considered as the pre-IPO round for the Indian e-commerce conglomerate as it works to list in the public markets as soon as early next year.

Flipkart’s parent, the American retail behemoth Walmart, reportedly plans to raise US$10 billion through the listing in the US that it plans in 2022.

Last July, Walmart led a $1.2-billion round in Flipkart, valuing the firm at $24.9 billion. Walmart had acquired Flipkart bought for $16 billion in 2018.

A press statement from Flipkart said the fundraise demonstrated significant interest from global investors, including sovereign funds, private equity and crossovers, in addition to Walmart.

This round of funding was led by financial investors GIC, Canada Pension Plan Investment Board (CPP Investments), SoftBank Vision Fund 2* and Walmart, along with investments from sovereign funds DisruptAD, Qatar Investment Authority, Khazanah Nasional Berhad, and marquee investors Tencent, Willoughby Capital, Antara Capital, Franklin Templeton and Tiger Global.

Kalyan Krishnamurthy, Chief Executive Officer, Flipkart Group, said, “At Flipkart, we are committed to transforming the consumer internet ecosystem in India and providing consumers access and value. This investment by leading global investors reflects the promise of digital commerce in India and their belief in Flipkart’s capabilities to maximise this potential for all stakeholders. As we serve our consumers, we will focus on accelerating growth for millions of small and medium Indian businesses, including kiranas. We will continue to invest in new categories and leverage made-in-India technology to transform consumer experiences and develop a world-class supply chain.”

According to the company, more than 300,000 registered sellers from across the country are on Flipkart’s marketplace, and 60% are from tier 2 cities and beyond. Flipkart also works with more than 1.6 million kiranas in India through its wholesale business and its last-mile delivery program, thereby contributing to the incomes of these kiranas and encouraging employment creation in the ecosystem.

The Group is also a majority shareholder in PhonePe, one of the leading Payments Apps in India with more than 300 million users, facilitating over 1 billion transactions per month, 80% of which occur in tier 2 and 3 cities and beyond.

Myntra, the Group’s fashion entity, is among the leaders in the category, with a wide consumer base offering the most comprehensive and latest collections in fashion.

Flipkart’s logistics and supply chain arm, Ekart, employs more than 100,000 people and makes deliveries to more than 90% of the addressable pin-codes in India, which, coupled with strategic warehouse infrastructure investments, is one of the group’s core strengths