Horizontal e-commerce major Flipkart has raised capital from Google in its ongoing $1 billion round started in December 2023. The company on Friday confirmed the investment, saying it will be adding Google as a minority investor.
While Flipkart did not disclose the quantum of investment by Google, sources indicate that it’s in the tune of $350 million.
The investment is subject to regulatory and other customary approvals by both parties, said Flipkart in a press note.
“Google’s proposed investment and its Cloud collaboration will help Flipkart expand its business and advance the modernization of its digital infrastructure to serve customers across the country,” said the note.
According to media reports, this is a part of a $1 billion round in which Walmart invested $600 million in December 2023. Flipkart has been valued between $35 to 36 billion in this round, two industry sources told Entrackr.
According to startup data intelligence platform TheKredible, Walmart owns around 85% of the company followed by a few minority investors, including Tencent.
Google has backed a bunch of Indian companies in the past with an aspiration to drive Google’s Cloud services. While it invested in Jio Platforms in 2022, the internet giant has also made investments in firms like Glance, ShareChat and Verse Innovation.
Google’s investment in the aforementioned content companies were largely aligned to gain ground in its cloud business.
Recently, Google joined investors like Radical Ventures, Lightspeed, and Blume Ventures to pump in $36 million in spacetech firm Pixxel. Moreover, Google also has an accelerator program for Indian startups. Last year, as many as 20 startups joined the eighth iteration of the ‘Google for Startups Accelerator: India program’.
