Flipkart looking to raise more funding at over $10B valuation
Indian e-commerce major Flipkart is looking to raise $1.5 billion in fresh round of funding from existing and new investors that will value the company at more than $10 billion, according to multiple media reports quoting sources. The firm will begin the fundraising process as early as in next January.
While The Wall Street Journal reports that some of Flipkart's existing investors will participate in the new round of funding, a report by The Economic Times said that the firm is only looking at a few investors that they want on board.
When contacted, a Flipkart spokesperson declined to comment.
The latest reports come close on the heels of a $627 million fundraising round by close rival Snapdeal from Japanese telecom and internet giant SoftBank.
Founded in 2007 by friends Sachin and Binny Bansal, Flipkart had in July this year raised $1 billion in funding co-led by its existing investors Tiger Global and Naspers, with participations from GIC, one of the two sovereign wealth funds of Singapore, besides Accel Partners, DST Global, ICONIQ Capital, Morgan Stanley Investment Management and Sofina. Earlier, it had netted $210 million led by DST Global, Tiger Global, Naspers and Iconiq Capital early this year.
Last year, it had raised $360 million in two tranches from Dragoneer Investment Group, Morgan Stanley Investment Management, Sofina, Vulcan Capital, and Tiger Global.
In 2012, it had bagged around $150 million from Tiger Global, Naspers, Accel Partners and Iconiq Capital. Prior to that, it had scooped around $32 million in multiple tranches from Accel Partners, Tiger Global besides its angel investors.
Flipkart claims that it had hit an annual revenue run rate of $1 billion in February this year, which means it clocked sales worth over Rs 500 crore that month. Its previous milestone of doing sales worth Rs 100 crore happened in June 2012.
In May, Flipkart acquired Myntra Designs Pvt Ltd, the company which runs the online fashion and apparel shop Myntra.com.
Last week, Flipkart appointed Sanjay Baweja, former finance chief at Tata Communications, as its new CFO.