Flipkart to focus on e-commerce growth, eyes 300 million new customers
Walmart-owned e-commerce major Flipkart will continue to focus on e-commerce growth in the country and keep its initial public offering (IPO) plans on hold as it is part of the company’s long term strategy.
Amidst reports of Flipkart planning to float an IPO into the US equity market by 2022, the company has issued a statement denying the report and stating that it remains undecided on the time frame for the same.
The company will continue to strengthen its market position in the country’s e-commerce market with the acquisition of new customers and sellers.
"An IPO has always been part of Flipkart's ambitions and long-term strategy but right now, we don't have a time frame on that. Flipkart is currently focused on driving the growth of e-commerce in India to get 200-300 million new customers into e-commerce fold," a Flipkart spokesperson said in a statement.
It was earlier reported that Flipkart’s board of directors had made the decision to float an IPO at a meeting on the sidelines of the Walmart annual shareholder conference in Bentonville, Arkansas in the US.
Flipkart has not completed rubbished the report of an IPO but only stated that it does not have a time frame for the same.
Walmart acquired about 77 percent of Flipkart for roughly $16 billion last year, beefing up the competition to Amazon.com Inc in the fast-growing Indian e-commerce market.
Post the acquisition, heavy investments have been made in Flipkart and the etailer is now looking to focus on compliance and profitability over the coming few years.
Copyright © 2023 FashionNetwork.com All rights reserved.