Flipkart funding round : Indian e-commerce giant raises $3.6bn at $37.6bn valuation
Indian e-commerce giant Flipkart has raised $3.6 billion from a new funding round to take its valuation to $37.6 billion.
The new funding round of Flipkart was led by Singaporean sovereign fund – GIC, SoftBank Vision Fund 2, Canada Pension Plan Investment Board (CPP Investments), and retail giant Walmart.
Sovereign funds DisruptAD, Khazanah Nasional Berhad, Qatar Investment Authority, and marquee investors Tencent, Antara Capital, Willoughby Capital, Tiger Global, and Franklin Templeton also took part in the funding round.
Flipkart said that the investment shows the confidence of global investors in digital commerce in India, which it said has continued to accelerate over the past year amid the Covid-19 pandemic.
The Indian e-commerce giant will use the proceeds from the funding round to continue to make deeper investments in technology, human resources, supply chain and infrastructure to cope up with the needs of a quickly increasing consumer base in India.
Flipkart, which was founded in 2007, said that it will work with the Indian fashion industry and help small businesses leverage its technology to sell their goods. The e-commerce firm also said that through its growing grocery and last-mile delivery programs, it will also work with kirana stores to help them digitize as well as grow.
Indian e-commerce giant Flipkart raises $3.6bn at $37.6bn valuation in new funding round. Image courtesy of Tumisu from Pixabay.
Kalyan Krishnamurthy – CEO of Flipkart Group, commenting on the latest Flipkart funding round, 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.”
Flipkart claims to have over 350 million registered users across India. It is said to have over 300,000 registered sellers in India on its marketplace.
The Indian e-commerce company is also said to be working with over 1.6 million kiranas in India via its wholesale business and last-mile delivery program.
The Flipkart Group also holds a majority stake in PhonePe, an Indian payment app with over 300 million users.
Commenting on the latest Flipkart funding round, Judith McKenna – President and CEO of Walmart International said: “Flipkart is a great business whose growth and potential mirrors that of India as a whole — that’s why we invested in 2018 and why we continue to invest today.
“Kalyan and the team have put the Indian customer at the center of everything and they have continued to innovate in the categories and services Indian customers want most, creating new jobs and growth opportunities for Indian entrepreneurs and small businesses alongside them. The quality of the investor group and valuation announced today is further confirmation of global confidence in Flipkart and its mission to transform commerce in India.”