Tue. Mar 19th, 2024

E-commerce giant Flipkart will be dedicating funds for investment in various other startups, for doing so the e-commerce company has constituted $60-$100 million fund to make strategic investments around its ecosystem.

Many multi-billion companies have such separate funds dedicated for investment in small startups but Flipkart will be the first e-commerce giant to do so.

Flipkart is panning to invest majorly in areas including fintech, Saas and supply chain and aims to take up sizeable stake (close to 20%-30%) in early-stage startups in return.

“We are delighted to support such innovative early-stage startups that are working on next-gen technology in and around our ecosystem,” the group CEO of Flipkart who will be heading the fund. The funding for this will come from Flipkart.

Also, for this Flipkart is setting up an investment committee which will look for good investment opportunities.

Flipkart has been investing and acquiring startups through Merger and Acquisitions (M&A), recently it acquired Upstream Commerce last year. Flipkart has acquired 12 firms till now.

Flipkart’s arch rival Amazon has been heavily investing in the early stage startups and Flipkart’s move to setup an investment fund is seen as a move to counter it

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