Hotline: 1800 102 2007
X
Search Business Opportunities
Apr, 12 2018

Walmart Likely To strike deal for majority stake in Flipkart By June End

Tencent Holdings, eBay and Microsoft Corp among its investors are also named among the investors of Flipkart.

Walmart Inc is nearing to close the deal of buying a majority stake in Indian e-commerce player Flipkart by the end of June in what could be the U.S. retail giant’s biggest acquisition of an online business, two people aware of the development said.

Last week, Reuters had reported that Walmart completed its due diligence on Flipkart and had made a proposal to buy 51 percent or more of the Indian company for between $10 billion to $12 billion.

A deal with Flipkart would step up Walmart’s battle with Amazon.com for a bigger share of India’s fledgling e-commerce market, which Morgan Stanley estimates will be worth $200 billion in a decade. Local media have reported that Amazon is exploring a possible counter offer for Flipkart.

Walmart will buy both new and existing Flipkart shares, with the new shares expected to value the Bengaluru-based firm at least $18 billion, the sources said. The price for existing shares would value the firm at about $12 billion, one of the people said.

Japan’s SoftBank Group, which owns roughly one-fifth of Flipkart via its Vision Fund, is unlikely to sell any of its shares due to the low price being offered for the existing shares, this source said.

Reuters has previously reported that early investors such as Tiger Global, Accel and Naspers will likely sell their entire stakes in Flipkart to Walmart if a deal is reached.

Tencent Holdings, eBay and Microsoft Corp among its investors are also named among the investors of Flipkart.

Comment
Related opportunities
  • Luggage, Hand bags & Backpacks
    About Us: Welcome to Doubleu Bag. We are proud to introduce..
    Locations looking for expansion Rajasthan
    Establishment year 2017
    Franchising Launch Date 2018
    Investment size Rs. 10lac - 20lac
    Space required 200
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Jaipur Rajasthan
  •   About Us        Gallantry Salon is world’s first army theme..
    Locations looking for expansion Delhi
    Establishment year 2016
    Franchising Launch Date 2018
    Investment size Rs. 10lac - 20lac
    Space required 100
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater New delhi Delhi
  • Fashion accessories - women
    About Us: UNISO is the modern shopping destination for modern INDIA. We..
    Locations looking for expansion Karnataka
    Establishment year 2017
    Franchising Launch Date 2018
    Investment size Rs. 30lac - 50lac
    Space required 600
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Bangalore Karnataka
  • About Us: Mahindra First Choice Wheels Ltd (MFCWL) is a part..
    Locations looking for expansion Maharashtra
    Establishment year 1999
    Franchising Launch Date 2003
    Investment size Rs. 30lac - 50lac
    Space required 1000
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Mumbai City Maharashtra
Insta-Subscribe to
The Franchising World
Magazine
For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you
OR Click here to Subscribe Online
Daily Updates
Submit your email address to receive the latest updates on news & host of opportunities