New Delhi, 31st July 2023: Walmart has paid $1.4 billion to buy out hedge fund Tiger Global’s interest in e-commerce business Flipkart.
The news was reported in a letter from the hedge fund to its investors, cited by the Wall Street Journal.
In an emailed response to Reuters, a Walmart representative acknowledged the sale but declined to disclose on financial terms.
According to the WSJ, the acquisition will be worth $35 billion to the e-commerce company. The spokesperson for Walmart stated, “We remain confident in the future of Flipkart and are even more positive about the opportunity in India today than when we first invested.”
The Economics Times reported earlier this year that private equity companies Accel and Tiger Global, two early backers of Flipkart, were in talks with Walmart to sell their remaining interest in the company.
According to the ET report, Tiger Global owned around 4% of the company.
Walmart purchased a 77% share in Flipkart for approximately $16 billion in 2018, and later that year stated that the company could go public in four years.
