Davy clients riding high after Walmart snaps up Indian ecommerce giant
OVER 100 Davy clients are enjoying a massive return in their holdings in Indian ecommerce company Flipkart, which they invested in through Tiger Global funds, according to market sources.
It was announced last week that Walmart was taking a 77pc stake in Flipkart for $16bn.
This puts a total value of around $20bn for the entire business. According to Bloomberg, the firm has made about $3bn after investing $1bn in Flipkart Group.
When Tiger first invested in 2009, Flipkart was valued at $50m and Tiger has continued to invest in the business.
Flipkart, founded in 2007 by Sachin Bansal and Binny Bansal, is India’s biggest ecommerce company and has had high-profile investors including Microsoft, Tencent and Softbank.
The latest in a series of high-return investments via the Chase Coleman Tiger Global private equity fund, in which Davy clients are understood to be invested.
Davy clients have done well in the tech space through Tiger Funds and Silverlake — getting returns of up to seven times in a relatively short number of years in companies including Spotify, Facebook, LinkedIn and Skype.
Last month, Davy clients were celebrating a near threefold increase in their investments in Spotify in less than two-and-a-half years following the listing of music streaming company. They had again invested via the Tiger Funds, market sources said.
In 2012, Davy clients were believed to have enjoyed a significant return on Facebook.
Market sources said at the time that Davy clients paid around $10m for their stake in 2009 via Tiger Global but the value rose to $60m by 2012 when the company listed.