SoftBank halts Walmart bid to buy Flipcart

According to DealStreetAsia, Walmart has expressed an interest in buying Flipkart. However, SoftBank Group doesn't support this plan. There are three big players on e-commerce markets in India, and Flipkart is the biggest. It accounted for nearly half of the market share, that's why it is also called "India's Alibaba". Two other participants are India's Snapdeal and American Amazon.

Walmart is trying to find other options such as taking a large stake in Flipkart at a price that could value India's largest e-commerce firm at between $20 to $23 billion. 

Read more at: take a large stake in Flipkart by investing a sum of money which will be almost equal to the Flipkart value, which is between 20 and 23 billion dollars. After this transaction, Walmart may become the largest shareholder of the company. Walmart plans to not only buy new shares, but also negotiates with other investors to buy their shares. 

In April 2017, Flipkart received 1.4 billion dollars from companies such as Japan's SoftBank Group and China's Tencent, which valued the company at 14 billion dollars. China's e-commerce giant Alibaba has also targeted the Indian e-commerce market. It has already bought Paytm, India's largest mobile payment service. Alibaba is actively working on Paytm online shopping platform. However, it doesn't have that much influence on the Indian market yet. 

Source: Tencent Technology

Publication date: 2/22/2018

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