Walmart Commits USD 600 Million Investment in Flipkart as Part of a Billion-Dollar Funding Round

ENA Sectors 2023-12-22 15:00:34 New Delhi, Dec 22 (KNN) E-commerce giant Flipkart, supported by Walmart, is said to raise funding of USD 1 billion, with a commitment of USD 600 million from the U.S. retail giant. This fresh infusion will likely value Flipkart at about 5-10% premium to its last valuation of USD 33 Bn. In addition to Walmart and other existing owners, the Bengaluru-based ecommerce major's round will also see new investors joining the cap table. Flipkart confirmed Walmarts infusion of USD 600 Mn in the company but said that the rest is speculative. Walmart also informed about its fresh infusion in a regulatory filing. Flipkart significantly contributes to the quarterly earnings performance of the U.S based e-commerce giant. Walmart noted in its recent Q3 2023 earnings statement that its operations in India were affected by the delayed onset of the festive season, along with the shift of the Flipkart Big Billion Days sales from Q3 last year to Q4 this year. The timing of Flipkarts Big Billion Days pressured International sales growth, as the event moved from Q3 last year to Q4 last year. So, we expect the timing to be a benefit to Q4s growth rate for the segment, Walmart had said. Meanwhile, Flipkart continues to face financial challenges. Flipkart India, the company's B2B segment, witnessed a standalone net loss expanding by over 42% year-on-year to INR 4,845.7 Cr in FY23. Similarly, in FY22, Flipkart Internet, the e-commerce giant's marketplace arm, also reported losses. (KNN Bureau) 36002 https://knnindia.co.in/news/newsdetails/sectors/walmart-commits-usd-600-million-investment-in-flipkart-as-part-of-a-billion-dollar-funding-round 2023-12-22 15:00:34 knnindia.co.in Walmart Commits USD 600 Million Investment in Flipkart as Part of a Billion-Dollar Funding Round