Flipkart Gets ` 3,463 crore from Parent Co
The Singapore-based holding firm of online retailer Flipkart has invested ` 3,463 crore in its India entity, in a bid to take on rival Amazon.
Flipkart Internet Pvt. Ltd., which owns and operates the India portal, received the funds from Singaporebased Flipkart Marketplace Pvt. Ltd. through “allotment of 16,78,600 equity shares,” according to regulatory filings by Flipkart.
Last month, the U.s.-based retail giant Walmart Inc. and Flipkart Group announced the closure of the agreements for Walmart to become the largest shareholder in the Flipkart Group. In May, Walmart had agreed to pay $16 billion for 77% stake in Flipkart, a transaction that valued the homegrown e-commerce company for over $20 billion.
The deal would pitch Walmart, the world’s largest retailer in direct competition with its U.S. rival Amazon. com in a battle for dominance of India’s online retail market.