Amazon infuses Rs 1,125 cr into India unit ahead of festive sales

NEW DELHI: US-based e-commerce giant Amazon has infused fresh capital to the tune of Rs 1,125 crore into one of its India units, Amazon Seller Services, according to regulatory documents.

The fresh infusion will provide more ammunition to Amazon to compete aggressively against Walmart-owned Flipkart and billionaire Mukesh Ambani-run Reliance Industries’ JioMart in the upcoming festive season.

Amazon Corporate Holdings Private Limited, Singapore and Amazon.com Inc, Mauritius have pumped in Rs 1,125 crore into Amazon Seller Services, regulatory documents sourced by business intelligence platform Tofler, showed.

Amazon Seller Services allotted equity shares to these entities for the said transaction on September 17, 2020. Amazon did not respond to queries.

In June this year, Amazon had pumped in fresh capital to the tune of Rs 2,310 crore into Amazon Seller Services. In January this year, Amazon founder Jeff Bezos had announced $1 billion (over Rs 7,000 crore) investment in India to help bring small and medium businesses online.

Previously, the online retail giant had committed $5.5 billion investments in India, one of Amazon’s most important markets outside of the US and a key growth driver.

Amazon rival Flipkart had announced raising $1.2 billion funding led by parent Walmart in July - which valued the e-commerce firm at $24.9 billion. Interestingly, Reliance Industries - which had announced the acquisition of Future’s retail, wholesale, logistics and warehousing units for Rs 24,713 cr last month - is also bolstering its operations ahead of the festive season.

Amazon Corporate Holdings, Singapore and Amazon.com Inc, Mauritius have pumped in Rs 1,125 cr into Amazon Seller Services, regulatory documents showed