Wal-Mart Stores, Inc. (NYSE: WMT), Amazon.com, Inc. (NASDAQ: AMZN) – Indian unit of Walmart that rivals Amazon raises $ 3.6 billion in new capital
Walmart Inc (NYSE: WMT) Indian e-commerce retailer Flipkart said on Monday it had raised $ 3.6 billion from a consortium of investors, including Japanese SoftBank Group (OTC: SFTBY), which returns as a funder.
What happened: The new fundraiser values the online retailer at $ 37.6 billion and comes at a time when the Bengaluru-based startup is exploring listing in the United States.
Walmart bought a controlling stake in Flipkart three years ago for $ 16 billion.
In addition to SoftBank, the investment was led by GIC, the Canada Pension Plan Investment Board and Walmart, the company said.
Why is this important: Flipkart has more than 350 million registered users and plans to increase investments in technology, supply chain and infrastructure with a focus on categories such as fashion, travel and groceries.
Judith McKenna, President and CEO of Walmart International, said in a statement that “Flipkart is a great company whose growth and potential mirrors that of India as a whole – which is why we invested in 2018 and why we continue to invest today.
Flipkart’s main rival in the country is Amazon.com Inc (NASDAQ: AMZN), which has paid billions of dollars and is making strides in India’s e-commerce landscape with its offerings.
Price action: Walmart shares closed up 0.51% at $ 140.30 on Friday.
Read more : Walmart India subsidiaries experience ‘strong growth’ and retailer intends to further capitalize on the market
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