E-commerce major Flipkart said it has received investment from SoftBank Vision Fund becoming one of the largest shareholders in the company.
After this financing round, Flipkart will have in excess of $4 billion (Dh14.6 billion) of cash on its balance sheet.
SoftBank Vision Fund is the global technology-focused investment fund.
“This is the biggest ever private investment in an Indian technology company and will make the Vision Fund one of the largest shareholders in Flipkart,” Flipkart said here in a statement.
“The funding round further solidifies Flipkart’s balance sheet and will help accelerate investment in driving continued market leadership,” it said.
The investment is part of the previously announced financing round, where Flipkart had raised capital from China’s internet company Tencent, eBay and global technology giant Microsoft.
“This is a monumental deal for Flipkart. Very few economies globally attract such overwhelming interest from top-tier investors. We’re excited to welcome the Vision Fund as a long-term partner as we continue to build our business with a focus on driving the next phase of technology adoption in India,” said Binny Bansal and Sachin Bansal, Co-Founders of Flipkart.
“India is a land of vast opportunity. We want to support innovative companies because they are best positioned to leverage technology. In Indian e-commerce, Flipkart is doing that every day,” said Masayoshi Son, Founder and Chairman and CEO of SoftBank Group Corp, who previously publicly announced his long-term commitment to investing in India.
“The Vision Fund is proud to be part of this landmark transaction which is a strong endorsement of India and its thriving economy,” said Rajeev Misra, CEO of the Vision Fund.
Completion of the investment is subject to customary regulatory approvals and closing conditions.
Goldman Sachs and Co LLC served as financial adviser and Gunderson Dettmer LLP served as legal adviser to Flipkart. Citi served as financial adviser and AZB and Partners served as legal adviser to the SoftBank Vision Fund.
Re-disseminated by The Asian Banker from GulfNews.com