Wallmart owned e-commerce giant Flipkart has closed a financing round of a whopping $3.6 billion. Global investors like SoftBank, Canada Investment Plan, and Qatar authorities participated in the current round. The current round has helped Flipkart to reach a valuation of $37.6 billion.
Flipkart Keeps Attracting the Global Investors
Indian based popular e-commerce platform Flipkart continues to grow at a fast pace and has also helped the Indian startup ecosystem in further growth. In a recent development, the e-commerce firm completed a $3.6 billion round. The firm is now valued at around $37.6 billion.
Flipkart Group CEO Kalyan Krishnamurthy looked enthusiastic after the current financing event. He said that Flipkart is committed to providing value and better consumer internet space to its customers. The company is also thankful to its stakeholders for showing immense trust in Flipkart operations.
With current funding, Flipkart plans to help small and medium businesses in growth via its platform. Not only that, but the firm is also looking to connect Kirana stores with its online supply chain management system.
The e-commerce giant is also looking to add more categories and extra features to its online system with the help of current funding.
Investors’ Trust in Flipkart and Indian Startup Ecosystem
Global investors have shown a lot of trust in Indian startups. Since last year, global investment saw a surge in Indian businesses. In last week itself, Indian companies received $1.33 billion from July 5 to July 10. In that, Ola led the chart with a whopping $500 million funding raise.
Product safety and consumer convenience have taken the driving seat to attract online consumers to the Indian e-commerce space.
Global investors talked about the main factors that helped them to take any investment decisions. Concerning that, CPP investments said that the Indian e-commerce market will play a key role in the next ten years on the global canvas. Digitization, positive demographics, and middle-class growth are the other three key factors behind CPP’s investment in Flipkart.
On the other hand, SoftBank is quite amazed by the Flipkart management team. The investment firm further added that the way Flipkart is handling the Indian consumers’ needs is extraordinary.
Currently, Flipkart has over 350 million registered users on its platform. 3 lakh registered sellers are fulfilling the need of Flipkart’s large userbase. 60% of registered sellers belong to tier-II cities. That indicates Flipkart’s commitment to helping small and medium enterprises.
Currently, 1.6 million Kirana stores are also part of Flipkart’s supply chain management. The e-commerce giant is also a major shareholder of PhonePe, the leading online payment app in India with over 300 million registered users. PhonePe executes 1 billion transactions per month. 80% of those transactions are completed by tier-II, tier-III, and beyond.