Amazon invests Rs 2,800 crore into India unit

By

Maverick Martins

Published
Jun 7, 2019

US-based e-commerce giant Amazon has invested around Rs 2,800 crore ($403.1 million) into its Indian marketplace to further strengthen its presence in the Indian market. Amazon had invested Rs 2,200 crore into its Indian entity in December last year.
 

The latest funds have come from two of Amazon group’s entities: Amazon Corporate Holdings Pvt Ltd, Singapore, and Amazon.com Inc Ltd, Mauritius.
 
Amazon India allotted 2.8 billion equity shares of Rs 10 each aggregating to Rs 2,800 crore at par on rights basis to the existing shareholders of the company. The resolution for this capital infusion was passed by the board of directors of Amazon Seller Services on May 21, Business Standard reported citing documents sourced from business intelligence platform Paper.vc.

The company sees huge potential for growth in the Indian market and continues to invest in the country to maintain its market position.
 
Outside of the US, Amazon India is the most important market for the company which is why it has so far made over $5 billion investment in India.
 
Amazon competes with Walmart in India which had bought the majority of Flipkart for $16 billion in the U.S. retailer’s biggest-ever acquisition.