Flipkart, India's e-commerce giant, is planning to raise a large funding round just before going public.
The company aims to raise at least $1 billion in financing at a valuation of $30 billion, according to sources familiar with the matter.
Key Highlights
- Flipkart aims to raise $1 billion in a pre-IPO financing round, despite "not requiring additional funds at the moment".
- Past media reports mentioned that Flipkart aims to go public in 2021.
- US's Walmart bought a majority stake in the company back in 2018, and remains its largest shareholder to date.
- Existing investors declined to comment on any funding-related matters in the company.
Why It Matters
- Many speculate that additional funding will go to further cushion against the country's worsening pandemic, while boosting the company's valuation slightly.
- Flipkart was valued at $24.9 billion at its last funding round, after raising $1.2 billion from Walmart.
- Walmart holds a 76.9% stake in Flipkart.
- The company is competing aggressively with Amazon in India, and recently JioMart.
- Flipkart has already deployed over $6.5 billion in India to win market share.
