Tech giant Google has announced to buy stake in e-commerce company Flipkart. According to a Moneycontrol report, Google has invested about $350 million (Rs 2,907 crore) in Flipkart’s $950 million (Rs 7,891 crore) funding round. Moneycontrol sources said that Flipkart’s valuation in this funding round was $36 billion (Rs 2.99 lakh crore). The e-commerce company started this fundraising round to sell stake in December last year, when its parent company Walmart invested $600 million (Rs 4,984 crore). The deal will be completed after getting regulatory and other customary approvals. Without giving the details of the deal, Flipkart said that the deal will be completed only after both the parties get regulatory and other customary approvals. A person close to the matter told Moneycontrol, “The capital from the primary round will be used to invest in verticals like travel (Cleartrip) and Shopsy, besides doubling down on quick commerce.” Flipkart’s focus on Shopsy comes at a time when rival Meesho is preparing for a $500-650 million round. Moneycontrol had reported Meesho’s plan in March. Flipkart’s current cloud service provider is Google This is not Flipkart’s first association with tech giant Google. Google is Flipkart’s current cloud service provider with its in-house cloud infrastructure and Microsoft’s Azure. In 2017, Microsoft signed an agreement with Flipkart to make Azure the e-tailer’s exclusive public cloud platform. As part of the deal, Microsoft also invested $200 million (Rs 1,661 crore). Flipkart has raised new capital at a time when the company is preparing for a planned domestic round. It is preparing to shift its base back to India from Singapore ahead of the IPO. Walmart recently told analysts that it is waiting for the right time for Flipkart’s public market debut.
