Flipkart Binny Bansal Ex CEO Said in an Interview
Binny Bansal, group chief operating officer of Flipkart, according to his view that USA retail giant has made the best buy in acquiring Indian e-commerce giant Flipkart at $16 billion in mid-August.
In an interview with San Francisco-based news website Recode, Bansal Said with repudiating the claims of media reports that Walmart overpaid for Flipkart, that the US retail giant Wallmart had made a long-term venture on India that would pay off over the next five to ten years, Mint reported.
In the discussion about Flipkart’s plan to go public in the coming future. Bansal said, “We believe we can be way more competitive with the right partners around. Our other partner we have Tencent and also have Microsoft as an investor. Bringing the correct partners on board is very important, we believe to succeed in the future,” he added at the Recode’s Code Commerce conference at Industria in New York City on Monday.
In the discussion regarding Flipkart’s Logistics capabilities, Bansal said that the native e-commerce company reaches four hundred cities and ninety per cent of deliveries are done by its own network. “From a logistics perspective, the kind of reach we have in the country, especially in tier 2, tier 3 areas, is unparalleled,” he was quoted as saying by Recode.
Meanwhile, Flipkart Internet, the online marketplace arm of the Walmart-backed company. Has received over Rs 3,462-crore fund infusion from Flipkart Marketplace, Singapore, as per regulatory documents.
The fund infusion — worn out 2 tranches — will give additional ammunition to Flipkart, that is locked in an intense battle with US-based Amazon for leadership in the burgeoning Indian e-commerce market.
“…in accordance with the Letter of Offer dated 14 August 2018 circulated by the company for the rights issue of shares, the board of directors of the company be and hereby allot 14,57,598 Class A equity shares…for an amount aggregating to Rs 30,07,02,46,740 for cash to Flipkart Marketplace Private Ltd, Singapore,” regulatory documents filed with Corporate Affairs Ministry said.
Flipkart Binny Bansal Ex CEO further said
The resolution was pass at the board meeting held on 30 August 2018.
The board meeting also passed another resolution. (in accordance to a Letter of Offer dated 18 July) for allotting 2,21,002 equity shares. For Rs 455.92 crore for cash to Flipkart Marketplace, Singapore.
The fresh capital also comes close on the heels of festive sale season. Which will bring in discounts and deals for customers. But is also an annual showdown of sorts between the two largest players in the segment — Flipkart and Amazon India.
Market watchers expect the competition between the 2 to be even fiercer this year as each firm has invested with considerably through the year to work up product offerings moreover logistic infrastructure to ensure speedier delivery.
While Flipkart currently has the backing of US retail giant Walmart (via a $16 billion deal signed earlier this year), Amazon India to has received millions of dollar in funding through the year from the US parent across operations like marketplace and payments business.
Near about 20 million shoppers expected to purchase on numerous e-commerce platforms throughout the festive season sale next month, translating into sales of around $3 billion for players like Amazon and Flipkart, according to the report by research firm RedSeer.
In a statement Tuesday, Flipkart said it expects to check a surge of 8-10x in a sale of perfumes on its platform throughout the sale season. This growth, it said, would get on the rear of An overhaul undertaken by the company.
“Project ‘Authenticated’ guarantees a revamp of Flipkart’s portfolio comprising over 2000 perfumes and a seal of credibility on the listing image, a new feature that showcases brand-approved sellers,” it said.
The company also will add more exclusive partnerships and expand its collection of worldwide recognized labels in coming months, it added.
The size of the perfume industry as a whole is expected to grow 50 per cent to Rs 3,000 crores over the next five years, the statement said.
I can usually be found listening music and reading a book, and more likely than not be a thriller. Writing a novel is always on my wishlist, but till then pursuing my hobby in writing.