Global retail giant Walmart bought Flipkart for $16 billion (1.12 lakh crore) in the biggest ecommerce deal in the world.
The deal values the 11-year-old home grown e-tailer Flipkart at approximately $21 billion (Rs 1.47 lakh crore).
With this deal, Flipkart became one of the most valuable internet startups in the world. This brings an end to the era of Sachin Bansal and Binny Bansal in Flipkart.
Walmart has retained the Flipkart management led by Binny Bansal while Sachin quits from the company.
Now Walmart owns 77% stake in Flipkart. The transaction, which was officially announced on Wednesday after months of extensive media coverage, has been in the works since 2016.
It entails Walmart ploughing $2 billion into the company as primary capital. The rest of the stake for Walmart will come from buying out existing investors like Japan’s SoftBank, Tiger Global (an investment fund based in New York) and South African media and internet group Naspers, among others, at a valuation of $19-20 billion,