Walmart-Backed Flipkart Raises $3.6 Billion in Funding to Accelerate Growth; Kalyan Krishnamurthy and Judith McKenna Share
BENGALURU, INDIA - As Walmart built out its retail network in India, one of its primary partners was The Flipkart Group, the e-commerce and private technology company. Backed by multiple global investors, Flipkart is further enacting a crucial strategy to bolster businesses and help it harness technology to spur growth. The group recently announced it has raised $3.6 billion USD in funding to advance the digital commerce ecosystem in India, bringing its total valuation to $37.6 billion USD.
“At Flipkart, we are committed to transforming the consumer internet ecosystem in India and providing consumers access and value,” said Kalyan Krishnamurthy, Chief Executive Officer of Flipkart Group. “This investment by leading global investors reflects the promise of digital commerce in India and their belief in Flipkart’s capabilities to maximize 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.”
The round of funding was led by financial investors GIC, Canada Pension Plan Investment Board (CPP Investments), SoftBank Vision Fund 2, and Walmart. Additional investments came from sovereign funds DisruptAD; Qatar Investment Authority; Khazanah Nasional Berhad; and marquee investors Tencent, Willoughby Capital, Antara Capital, Franklin Templeton, and Tiger Global.
“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,” said Judith McKenna, President and CEO, Walmart International. “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.”
Flipkart will use these investments to further bolster its technology, supply chain, and infrastructure to address the requirements of a rapidly growing consumer base in India, according to a press release. One of Flipkart’s key focuses is to help informal commerce segments leverage the power of technology. By expanding grocery and last-mile delivery programs, the group will also help companies digitize and accelerate growth.
In December of last year, Walmart also announced that it hopes to announce Flipkart's public listing in the U.S. Will this new investment bring it closer?
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