Tiger Global sells $1.4 billion Flipkart stake to Walmart

Walmart, the multinational retail giant, has recently completed a significant financial move by paying a staggering $1.4 billion to acquire hedge fund Tiger Global's investment in the renowned Indian e-commerce firm, Flipkart. 

The Wall Street Journal, a reputable financial news outlet, reported the buyout on Sunday, citing a letter from Tiger Global to its investors as the source of the information.

While a Walmart spokesperson has confirmed the transaction in response to Reuters, they have refrained from providing further insights into the financial intricacies of the deal. 

We are confident in Flipkart’s potential: Walmart

Despite the lack of official comments on the specifics, the WSJ report asserts that this transaction will place a valuation of $35 billion on Flipkart, indicating the substantial magnitude of the investment and the trust placed in the e-commerce company's potential.

"We remain confident in the future of Flipkart and are even more positive about the opportunity in India today than when we first invested," the Walmart spokesperson said.

Tiger Global did not immediately respond to Reuters' request for comment.

Earlier this year, the ET reported that private equity firms Accel and Tiger Global, two early backers of Flipkart, were in talks to sell their remaining stake in the company to Walmart.

Tiger Global held about 4 per cent of the company, according to the ET report.

Walmart acquired a majority stake of 77 per cent in Flipkart for about $16 billion in 2018, and later that year said it could take the company public in four years.