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Flipkart could acquire Walmart’s India cash-and-carry business

Published
today Jan 24, 2020
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Flipkart Group is expected to acquire its US-based parent company Walmart’s loss-making India cash-and-carry business as Flipkart continues to expand in the online grocery market. 

Best Price Modern Wholesale opened its latest store in Kurnool in December, 2019 - Best Price Modern Wholesale- Facebook

 
Following unsuccessful talks with Tata Group over acquiring a stake in Walmart’s cash-and-carry business, sources told TNN that Flipkart seems likely to acquire the business. If the deal goes through, Walmart’s business-to-business segment would be a subsidiary of Flipkart. This would allow Flipkart to augment its supply chain for its expanding food and groceries segment and cater to a wider market. 
 
“If the move goes through, it will create an efficient and asset-light model that can build on the synergy between all these organisations,” one of the sources told TNN. “This looks like a sure shot success story as Flipkart will be able to tap all segments of e-commerce and not only the urban market.”

Walmart India had recently opened its first Best Price Modern Wholesale store in Andhra Pradesh in Kurnool in December, 2019. The store is the business’ 28th outlet in India. The B2B chain retails an array of personal care items among other fast moving consumer goods to cater to businesses ranging from kirana stores to large hotels. 

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