Walmart Buys Tiger Global’s Remaining Stake in Flipkart for $1.4 Bn, Valuing E-Commerce Giant at $35 Bn

US based retail behemoth Walmart has reportedly bought out hedge fund Tiger Global’s remaining investment in homegrown e-commerce giant Flipkart. It has reportedly paid $1.4 billion for the remaining stake under Tiger Global’s bucket.

According to a report by WSJ, Tiger Global, which has cashed most of its Flipkart shares earlier, overall made a gain of $3.5 billion on an investment of $1.2 billion. With this, Tiger Global has now fully exited from Flipkart. 

This transaction valued Flipkart at $35 billion, which is a dip from $38 billion at the time it had sold stakes to SoftBank, Walmart and other investors in 2021.

For Tiger Global, Flipkart is the only Indian startup in which it had invested more than $1 billion. Between 2010 and 2015, the New York based hedge fund had invested nearly $1.2 billion in Flipkart.

Prior to this transaction, Tiger Global held 4% stake in Flipkart. 

In an another separate reporting by Economic Times, venture capital firm Accel also sold its 1% stake in Flipkart to Walmart.

The acquisition of the stakes from Tiger Global and Accel would result Walmart holding about 77% majority stake in Flipkart, up from 72% previously.

Flipkart was valued at $37.6 billion in a funding round in 2021 however the valuation dip by approximately $5 billion after the payments startup, PhonePe, got separated from Flipkart.

Flipkart acquired PhonePe in 2016 and moved the payments firm's entire base to the country from Singapore. In December last year, both the companies announced that Flipkart no longer own any stake in PhonePe.

PhonePe is now valued at $12 billion, as of May this year.

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