Flipkart becomes world’s third most funded private company
Popular e-commerce giant Flipkart has emerged as the third most funded private company in the world. The firm achieved this success after receiving USD 2.4 billion from the Japanese technology & telecom giant named ‘SoftBank’.
The e-commerce organization has shown growth of USD 7 billion in a capital. The growth ratio is higher than that of global firms like online house rental aggregator called ‘Airbnb’ and mobile phone maker company Xiaomi. The China based Didi Chuxing and USA based Uber has topped the list of the most funded companies.
Securing Softbank’s USD 2.4 billion financing Flipkart renowned as 3rd most funded private company
Flipkart has now become the world’s fastest growing e-commerce market. Jeff Bezos has registered $5 billion to the business. Flipkart now has $ 4 billion after Japanese investor SoftBank’s infusion of USD 2.5 billion.
People who familiar with the deal claimed that the investment is worth of $2. 5 billion. Out of this $1.5 billion is directly funded into Flipkart. And $ 1billion being part of Tiger Global Management’s stake. The world’s largest technology-focused fund gets 20 % stake in Flipkart.
The investment is part of the financing round that announced in April this year. Flipkart had raised $ 1.4 billion from Microsoft, eBay and Tencent. According to the latest funding report, it has estimated funds to be raised over $ 5 billion till date. A source said that SoftBank was very much keen to pick up in Flipkart’s stake and looking at investing about 1.5 to 2 billion.
For Flipkart, this provides more arsenal to compete with Amazon. The two organizations have been locked in an intense battle in the burgeoning e-commerce market for leadership.
The funding report solidifies balance sheet of Flipkart. It will help accelerate investment in driving continued market leadership.
Flipkart’s co-founders said that “This is a monumental deal for us. Very few economies worldwide attract such wonderful interest from the global top-tier investors.