Amazon infuses Rs 2900 crore into India business

Global e-commerce giant Amazon has made a fresh injection of Rs 2900 crore (approx ($443 million) into Amazon Seller Services, which runs the India unit of the firm.
 
Reuters

The fresh infusion by the Seattle based company in India indicates Amazon will go all out to dethrone Indian ecommerce major Flipkart in the country's burgeoning e-commerce market.
 
Even though the company is facing losses in its international business as a result of its investments in India, the company seems unperturbed and continues to splash the cash in the country.
 
In the current fiscal itself Amazon has infused close to $1 billion into its India entity with Rs 1680 crore (approx $257 million) in June, Rs 1620 crore (approx $248 million) in September and now the Rs 2900 (approx ($443 million).
 
Amazon’s latest funding has been raised from its Singapore-based group entity Amazon Corporate Holdings and another Mauritius-based group entity Amazon.com.incs, according to documents filed with the Registrar of Companies (RoC).
 
“As India’s largest and fastest growing e-commerce player, and with a long-term commitment to make e-commerce a habit for Indian customers, we continue to invest in the necessary technology and infrastructure to grow the entire ecosystem”, an Amazon India spokesperson said, in response to a query by FashionNetwork.com.
 
“We are delighted and humbled by the trust from our customers, to lead in India on things that matter to our customers in over four years of our business, while continuing to launch innovative India-first initiatives as well as completely new offerings like Echo, Prime and Prime Video,” the spokesperson added.
 
Deep pocketed Amazon India is looking to expand its business across all verticals and eyeing tie ups with Indian companies for growth. The company had earlier said that its core focus in India would be on enhancing consumer experience, digital payments and Prime membership program.
 
Similarly, homegrown market leader Flipkart is also not short of cash and currently has more than $4 billion in its kitty after raising $2.5 billion from Softbank and another $1.4 billion from Tencent Holdings, eBay and Microsoft early this year. It is also holding talks with various firms to pick up a stake in order to diversify its business in the country.

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