After infusing $33.58 Mn into its wallet business in India, global e-commerce giant Amazon has invested fresh $392.3 million (₹2,700 crore) in its India operations, which completed its five years in last month.
According to documents filed with the Registrar of Companies (RoC), sourced from business intelligence platform Paper.vc, Amazon Seller Services, the marketplace unit of the US e-commerce giant in India, received an infusion of ₹2,7 billion (approx $392 million) earlier this month.
An additional ₹100 crore was invested in Amazon Retail India, as per paper.vc. Notably, Amazon Retail India is the food retail unit of the company which will drive its grocery category. Amazon had said that it would invest $500 million into food retail soon after the government opened the sector up to 100 foreign direct investment.
The fresh capital infusion from Amazon comes months after the US-based retail giant Walmart acquired Amazon’s Indian rival, Flipkart.
Amit Agarwal, Amazon India country head and senior vice president, had told a business daily that Amazon would not hold back from further investments in the Indian operations.
According to the company, more than half of the capital it has invested in India so far has gone towards building infrastructure, including investments in technology, warehousing, logistics, etc.
Jeff Bezos, CEO of Amazon, has committed to invest $5.5 billion into the India business and now with this fresh investment, the total investment the company has made in its marketplace business in India is close to US$3.7 billion.
According to a report by Citi Research released in May this year, Amazon’s India business could be valued at $16 billion right now and is expected to reach $70 billion in gross merchandise volume (GMV) and $11 billion in net sales by 2027.
Amazon is also aggressively investing fintech space in India. In May, Amazon Inc. along with Mastercard, led $8-10 funding of Bangalore-based Naffa Innovations Pvt. Ltd, which operates digital payments startup ToneTag. In the same month, Amazon led a $12 million funding round in Acko Technologies, which is a Insurtech startup headquartered in Mumbai. Prior to this, the company had invested $22 million in Capital Float, a Bengaluru headquartered digital lending startup.