Flipkart Internet gets Rs 1,421 crore infusion from Singapore holding company, ET Retail

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Walmart-owned Flipkart, through its Singapore holding company, has infused Rs 1,421 crore (or around $170 million) in its Indian marketplace entity Flipkart Internet in two tranches on March 23 and April 6, according to filings sourced from the Registrar of Companies (RoC).

This is an internal cash transfer and not fresh funding at a parent level. However, this is the second major fund infusion received by Flipkart Internet from its Singapore-based related entities in 2024. On March 4, ET had reported that the company received $111 million.

The new funding takes the total infusion in the marketplace entity to $281 million. It has come close on the heels of Flipkart drawing up plans to launch its quick-commerce service.

Flipkart has been making efforts to cut down on the timeline of its deliveries across various categories.

The Bengaluru-based etailer had rolled out same-day delivery of products across several categories at no extra cost from February. It initially launched the benefit in 20 cities, including metros like Delhi and Bengaluru, and also in smaller towns like Guwahati and Ludhiana.

Flipkart is also in talks to raise as much as $1 billion, with parent Walmart committing to inject $600 million, ET reported on December 21. This would be the first fundraise for the online retailer since 2021, when it closed a $3.6 billion funding round at a valuation of $37.6 billion.

In July 2023, Walmart had also facilitated a $750 million one-time payout for Flipkart employees as part of PhonePe’s funding round and separation from the group.

For the year ending March 2023, Flipkart Internet had reported a 42% growth in its operating revenue to Rs 14,845 crore, while its total loss narrowed by 9% to Rs 4,026 crore, as per regulatory filings.

Meanwhile, Flipkart’s chief rival, Amazon India, has also received funds from its US parent this year exceeding Rs 1,000 crore for its various entities across marketplace and payments.

In February, Amazon Seller Services, the entity that runs the Amazon marketplace in India, received Rs 830 crore from its US parent. Amazon Pay India, the fintech entity, received Rs 350 crore in January.