The major Indian e-commerce company FlipKart for the first time has confirmed its valuation at $15.2 Billion. The valuation is based on the recent funding round of $700 Million raised from undisclosed investors.
It is still unclear whether or not FlipKart’s existing investors have led the fresh funding round or it has new investors on board. This funding catapults Bangalore-based Flipkart to third place among the world’s most valued privately held startup companies.
Tiger Global Management, Naspers, Accel Partners, Iconiq Capital, GIC, Morgan Stanley Investment Management, DST Global, Sofina Societe, Steadview Capital, The Qatar Investment Authority are some of Flipkart’s key investors.
On the other hand, FlipKart’s homegrown rival Snapdeal was valued at $5 Billion at the time it raised $500 Million from Alibaba and Foxconn.
Vinod Khosla, one of the co-founders of Sun Microsystems who is also a prominent investor, last weeksaid that 85% of Indian online retailers, including Flipkart and Snapdeal, are “overvalued”.
“If you ask me Flipkart, Snapdeal and other e-commerce start-ups are overvalued,” Khosla told.
The Indian e-commerce market is booming as more people with higher disposable incomes prefer to buy books, electronics, accessories and clothes online and global investors are pouring billions of dollar to the fast growing sector.