Flipkart acquires Walmart India
India’s leading e-commerce company Flipkart Group has bought Walmart India. Flipkart acquires 100% stake in Walmart India. With this, Flipkart is also bringing a new digital marketplace Flipkart Wholesale. This move will enable Walmart to take advantage of the strong wholesale capabilities of India and boost the growth of grocery and MSMEs. The move will also strengthen the company’s grocery business, which is becoming increasingly competitive.
Kalyan Krishnamurthy, Chief Executive Officer (CEO) of Filpkart Group said, “With the launch of Filpkart Wholesale, we will enhance our capabilities in technology, logistics and small businesses across the country.”
The Filipkart wholesale unit will be launched in August and will first have services for the grocery and fashion categories. Samir Aggarwal, Chief Executive Officer at Walmart India, will remain with the company to ensure a smooth transition, after which he will move to another role within Walmart.
About two years ago, Walmart bought a 77 percent stake in Flipkart for $ 16 billion. Now Flipkart has acquired Walmart India itself. The company has done the deal at a time when Reliance’s Jiomart is moving fast in the country’s e-commerce sector. After the Flipkart wholesale launch, the company will have direct competition from Jiomart, Udaan, Metro Cash & Carry and Amazon’s B2B division.
Krishnamurthy said, “The acquisition of Walmart India adds a strong talent pool with deep expertise in wholesale business, which will strengthen our position in addressing the needs of grocery and MSMEs”.
