Indian eCommerce giant Flipkart has raised $1.2 billion in an investment round led by Walmart. The investment round was supported by an existing group of shareholders along with Walmart and values the company at $24.9 billion, Flipkart announced.
The latest round of funding comes after Walmart invested $16 billion in the company, acquiring a majority stake in 2018.
Founded in 2007, the Flipkart Group today encompasses Flipkart, digital payments platform PhonePe, apparel shopping app Myntra and eKart, a logistics and delivery service focused on offering last-mile delivery in the country’ Tier II and Tier III cities. In 2018, Walmart Inc. invested $16 billion for a majority stake in the group.
“Since Walmart’s initial investment in Flipkart, we have greatly expanded our offer through technology, partnerships and new services. Today, we lead in electronics and fashion, and are rapidly accelerating share in other general merchandise categories and grocery, all while providing increasingly seamless payment and delivery options for our customers,” Flipkart CEO Kalyan Krishnamurthy said.
Since the start of the lockdown, Flipkart has seen a rapid increase in digital ordering on its platform. The company recently surpassed 1.5 billion monthly visits and reported a 45 percent increase in monthly active users and a 30 percent increase in transactions per customer in FY20. The company reportedly has 150 million product listings across more than 80 categories.
“Flipkart continues to leverage its culture of innovation to accelerate growth and enable millions of customers, sellers, merchants and small businesses to prosper and be a part of India’s digital transformation,” said Judith McKenna, president and CEO of Walmart International said in an announcement.