After Kalyan Krishnamurthy (CEO) and Binny Bansal (Group CEO), Flipkart’s Executive Chairman Sachin Bansal is next on the line who may also exit the company in case of a successful completion of the deal with Walmart.
The development is sudden as Sachin until last week had no such plans of selling any of his holdings and was still interested in hanging around in the firm even after the Walmart deal.
The exit talks have started in the last 3-4 days and the final decision will be taken in over the next one week as Flipkart and Walmart decide on the contours of the board, according to an ET report.
The reason behind the exit decisions of the top management is still unclear as Walmart wants them to stay back. They have been actively running the day-to-day operations and are more critical members, said Walmart.
Interestingly, Sachin and Binny are part of Flipkart’s 10-member board right now while Kalyan is not on the board, according to the regulatory filings made by the company in Singapore.
Amidst this, according to a report by Factordaily, Walmart has decided to pay a whopping $14.6 billion in cash and stock to acquire 73 per cent stake in the biggest e-commerce company in India.
At present, Bansals reportedly claim to own 5.5 per cent each in Flipkart. While Binny Bansal is likely to sell about a tenth of his shares in the company, it is not decided how much Sachin Bansal will sell.
The US retail giant Amazon has also been in talks with Flipkart for months to acquire a controlling stake in the firm. According to a latest report, Amazon has also made a formal offer to buy a 60 per cent stake in Flipkart.