Flipkart's Sachin Bansal to sell entire stake in business due to Walmart deal
One of Flipkart’s Co-Founders, Sachin Bansal, is expected to sell off his entire stake in the company to Walmart when the deal goes through due to doubts about changes to the business’ operating structure.
Sachin Bansal, who currently has a 5.5 percent stake in the e-commerce giant Flipkart, currently acts as the business’ Chairman after serving nine years as the CEO. However, The Economic Times has reported a source close to the matter as saying: “Sachin was to stay on till very recently, but there was a disagreement between the Flipkart board and him on strategies being drawn up for the company after Walmart became the largest shareholder.”
Flipkart’s other Co-Founder, Binny Bansal, is expected to stay on as the group’s CEO following the upcoming Walmart deal that has made worldwide news. Kalyan Krishnamurthy, another Flipkart executive, is also expected to stay on but will not take up a seat on the board. A change in both owner and management could therefore spell great changes for the business, especially as Walmart is based in Arkansas, USA.
Walmart is set to become the largest shareholder in Flipkart with a 60 to 70 percent stake in the business. This will require an investment of around 12 to 15 billion US dollars.
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