Co-founder of one of the biggest Indian e-commerce company Flipkart and also the group CEO of the same, Binny Bansal said that Flipkart was the only option for Walmart to make a pay in India and for Walmart, it made sense to partner with Flipkart.
Prior to Walmart’s buyout, which valued the Flipkart Group at $21 billion, Flipkart was valued at about $12 billion in a 2017 funding from SoftBank Group Corp., Tencent Holdings Ltd, Microsoft Corp. and eBay Inc.
Speaking about the partnership of Walmart and Flipkart, Bansal said: “It all came about pretty well for both sides eventually… For Walmart, it made sense to partner with Flipkart. Flipkart was the only option (for Walmart) to make a play in India. The future of retail, especially in a country like India, is e-commerce. And the way to make a play in e-commerce was either to build it or to work with Flipkart.”
“From an IPO perspective, from an independent brand perspective, we still have the goal of taking the company to an IPO in the future with Walmart being a majority investor,” Bansal said. “We believe that we can be way more competitive with the right partners around us. The other partners that we have are Tencent, we also have Microsoft as an investor.”