According to recent equity transactions conducted by its parent company Walmart, e-commerce giant Flipkart’s valuation has seen a significant decline of around USD 5 billion or roughly Rs 41,000 crore as of January 2024 compared to January 2022.
This decline in valuation, as reported by Walmart, is attributed to the demerger of Flipkart’s fintech arm PhonePe into a separate entity. However, sources suggest that Flipkart’s current valuation is estimated to be in the range of USD 38-40 billion.
Walmart’s equity stake in Flipkart fluctuated over the past fiscal years, with an 8% dilution in FY2022 followed by a 10% increase in FY2024, reflecting changes in the e-commerce giant’s enterprise value. Despite the reported decrease in valuation, Flipkart asserts that it’s an appropriate adjustment post the PhonePe separation and highlights its robust growth in Gross Merchandise Value (GMV) as a factor that could potentially boost its current valuation.
Post Your Comments