NEW DELHI: Walmart is likely to announce its much-anticipated deal to shop for a controlling stake in Indian e-commerce company Flipkart ahead of the tip of this week, sources informed Reuters on Tuesday, in what may be america retail massive's biggest acquisition.
Bentonville, Arkansas-based Walmart and its partner in the deal, Google father or mother Alphabet Inc, wish to purchase as much as three quarters of Flipkart. Walmart will look to own a more or less 60 in line with cent stake, whilst Alphabet will get about 15 in line with cent possession of the online marketplace, sources added.
The deal is likely to value Flipkart at more or less $18 billion to $20 billion.
Media reported ultimate week that Amazon.com Inc , which has been pouring billions of dollars into India to send goods to shoppers sooner, had made a proper be offering to shop for 60 in line with cent of Flipkart however that Flipkart's founders preferred Walmart.
Below are key details about Flipkart:
* The company used to be founded in 2007 in Bengaluru by way of Sachin Bansal and Binny Bansal. The Bansals, who aren't related, met in 2005 at the Indian Institute of Technology, Delhi. They are each former workers of Amazon.
* Flipkart to start with bought books, later increasing to sell tune, motion pictures, games, electronics and mobiles, the category that has driven enlargement. The first e-book it bought used to be John Wood's Leaving Microsoft to Change the World. It introduced logistics arm Ekart in 2010 and began the now common cash-on-delivery carrier.
* It opened its first workplace in Bengaluru in 2008 and opened places of work in Delhi and Mumbai in 2009. Last month, Flipkart consolidated all its Bengaluru places of work in a single large campus.
* In 2011, Flipkart domiciled to Singapore, because it looked to woo overseas investors to fund fast enlargement.
* The first billion-dollar Indian e-commerce company, Flipkart sells eight million merchandise across 80 plus categories. It has 100 million registered customers, 100,000 sellers, 21 warehouses, 10 million daily page visits.
Key folks:
* In 2016, Binny Bansal took over as CEO and Sachin Bansal was government chairman.
* Last yr, Kalyan Krishnamurthy, up to now an government in Flipkart investor Tiger Global, took over as Flipkart CEO. Binny Bansal was CEO of the entire staff, which includes model portals Myntra-Jabong, payments unit PhonePe and logistics company Ekart.
* The company's board has seven individuals. Dropbox Inc's leader era officer, Aditya Agarwal, joined the board in 2014.
Mergers & Acquisitions:
* Bought on-line apparel store Myntra in a deal pegged by way of sources at about $300 million in 2014, and some other store Jabong for $70 million in 2016.
* Last yr, Flipkart introduced to shop for rival Snapdeal but the deal fell through. SoftBank, Flipkart's greatest investor, additionally has a stake in Snapdeal, as does China's Alibaba Group Holding Ltd.
* Flipkart purchased cost startup PhonePe in 2016.
* In trade for an equity stake in Flipkart, eBay agreed to make a $500 million cash funding in and sell its eBay.in trade to Flipkart in 2017.
Investors:
* Japan's SoftBank Group Corp owns a fifth of Flipkart through its Vision Fund. SoftBank anticipated to sell its entire stake in the Walmart deal, Reuters reported ultimate week.
* Early investors New York-based hedge fund Tiger Global and US private-equity company Accel Partners will sell a majority in their stakes, Reuters reported on Tuesday.
* Other investors include the founders and Napsers Ltd. China's Tencent Holdings Ltd, eBay Inc and Microsoft Corp invested $1.four billion ultimate yr.
Financials:
* Flipkart Group's consolidated loss resulting from homeowners of the corporate in fiscal 2017 widened to Rs eight,770 crore, from Rs 5,216 crore a yr previous.
* Consolidated earnings jumped 29 in line with cent to Rs 19,855 crore in fiscal 2017.
Bentonville, Arkansas-based Walmart and its partner in the deal, Google father or mother Alphabet Inc, wish to purchase as much as three quarters of Flipkart. Walmart will look to own a more or less 60 in line with cent stake, whilst Alphabet will get about 15 in line with cent possession of the online marketplace, sources added.
The deal is likely to value Flipkart at more or less $18 billion to $20 billion.
Media reported ultimate week that Amazon.com Inc , which has been pouring billions of dollars into India to send goods to shoppers sooner, had made a proper be offering to shop for 60 in line with cent of Flipkart however that Flipkart's founders preferred Walmart.
Below are key details about Flipkart:
* The company used to be founded in 2007 in Bengaluru by way of Sachin Bansal and Binny Bansal. The Bansals, who aren't related, met in 2005 at the Indian Institute of Technology, Delhi. They are each former workers of Amazon.
* Flipkart to start with bought books, later increasing to sell tune, motion pictures, games, electronics and mobiles, the category that has driven enlargement. The first e-book it bought used to be John Wood's Leaving Microsoft to Change the World. It introduced logistics arm Ekart in 2010 and began the now common cash-on-delivery carrier.
* It opened its first workplace in Bengaluru in 2008 and opened places of work in Delhi and Mumbai in 2009. Last month, Flipkart consolidated all its Bengaluru places of work in a single large campus.
* In 2011, Flipkart domiciled to Singapore, because it looked to woo overseas investors to fund fast enlargement.
* The first billion-dollar Indian e-commerce company, Flipkart sells eight million merchandise across 80 plus categories. It has 100 million registered customers, 100,000 sellers, 21 warehouses, 10 million daily page visits.
Key folks:
* In 2016, Binny Bansal took over as CEO and Sachin Bansal was government chairman.
* Last yr, Kalyan Krishnamurthy, up to now an government in Flipkart investor Tiger Global, took over as Flipkart CEO. Binny Bansal was CEO of the entire staff, which includes model portals Myntra-Jabong, payments unit PhonePe and logistics company Ekart.
* The company's board has seven individuals. Dropbox Inc's leader era officer, Aditya Agarwal, joined the board in 2014.
Mergers & Acquisitions:
* Bought on-line apparel store Myntra in a deal pegged by way of sources at about $300 million in 2014, and some other store Jabong for $70 million in 2016.
* Last yr, Flipkart introduced to shop for rival Snapdeal but the deal fell through. SoftBank, Flipkart's greatest investor, additionally has a stake in Snapdeal, as does China's Alibaba Group Holding Ltd.
* Flipkart purchased cost startup PhonePe in 2016.
* In trade for an equity stake in Flipkart, eBay agreed to make a $500 million cash funding in and sell its eBay.in trade to Flipkart in 2017.
Investors:
* Japan's SoftBank Group Corp owns a fifth of Flipkart through its Vision Fund. SoftBank anticipated to sell its entire stake in the Walmart deal, Reuters reported ultimate week.
* Early investors New York-based hedge fund Tiger Global and US private-equity company Accel Partners will sell a majority in their stakes, Reuters reported on Tuesday.
* Other investors include the founders and Napsers Ltd. China's Tencent Holdings Ltd, eBay Inc and Microsoft Corp invested $1.four billion ultimate yr.
Financials:
* Flipkart Group's consolidated loss resulting from homeowners of the corporate in fiscal 2017 widened to Rs eight,770 crore, from Rs 5,216 crore a yr previous.
* Consolidated earnings jumped 29 in line with cent to Rs 19,855 crore in fiscal 2017.
Flipkart-Walmart deal likely by end of week: Key facts
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Reviewed by Kailash
on
May 08, 2018
Rating:
