Walmart buys controling share of Flipkart for $16bn
Naspers has sold its 11% stake in Indian e-commerce company Flipkart for $2.2bn
Naspers sold its 11% stake in Indian e-commerce company Flipkart for $2.2bn, it said on Wednesday. Naspers’s stake was lower than the 16.6% previously reported. The media group said in initially acquired its stake for $61m in August 2012, so the deal concluded with Walmart represented a 32% internal rate of return. Walmart announced on Wednesday that it had agreed to pay $16bn for a roughly 77% stake in Flipkart, the US retailer’s biggest foreign investment as it battles rival Amazon in one of the world’s biggest emerging markets. The deal, capping almost two years of talks, will help Walmart fortify and boost market share against Amazon, which had reportedly tried to make a competing offer for a stake. “India is one of the most attractive retail markets in the world, given its size and growth rate, and our investment is an opportunity to partner with the company that is leading transformation of e-commerce in the market,” said Doug McMillon, Walmart’s CEO in a statement. Earlier on...
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