Walmart To Buy 73% of India's Flipkart For Up To $16B; Alphabet Might Put in $3B: FactorDaily (factordaily.com)

Here's an interesting development about to take place in India. From a report: Walmart Inc. has decided to go all in on its deal to acquire Flipkart in a deal sealed on Thursday to buy 73% of the Indian ecommerce company in one of the biggest mergers and acquisitions in the country -- spending at least $14.6 billion in the cash-and-stock buyout. One source said Flipkart was valued at $20 billion, while two others said Walmart, the world's largest retailer, had put the target company's value at as much as $22 billion, a price at which it will spend more than $16 billion. Alphabet Inc., the parent company of search giant Google, is said to be participating in the deal with a $3 billion investment. Kalyan Krishnamurthy will stay on as chief executive of Flipkart.

Comments

Japan is laughing all the way to the bank

[Anonymous Coward]

The Japanese company SoftBank, just made a purchase of a 30% of Flipkart last August (2017) for $2.5 Billion

Within 10 months, SoftBank made an over 100% profit over that investment when it was sold to Walmart

Whats Walmart?

[ghoul]

Next you will be asking for a description of Walmart. Not everyone lives in the US. Flipkart is 20-30 times bigger than Walmart in India and bigger than Amazon as well. Google has tried breaking into the Indian market with Google Wallet and has had its ass handed to it in the fintech field by PayTM. And India allows 100% foreign ownership in tech so its not a protected market like China. Its just that there are folks in India who didnt leave to come to Silicon Valley to run Google and Microsoft. So there are plenty of smart people and now that the competition is on the field of who has the most brains rather than the most natural resources (US prosperity is built on the Texas and California oil booms and war profiteering from WW1 and WW2), US companies are not the obvious winners. So what do you do? You buy the winners.