Flipkart, the India-based e-commerce platform that counts e-commerce group Naspers as an investor, has closed a $700m funding round raised at a $15bn valuation, the Economic Times reported yesterday.
The round featured fund manager Tiger Global Management and asset manager Steadview Capital, according to two people aware of the development, both of which took part as existing investors. Flipkart reached the $550m first close of the round in April this year.
Founded in 2007, predominantly as an online bookseller, Flipkart operates a diversified e-commerce platform spanning more than 20 million products across 70 categories.
Flipkart has now raised about $3.1bn in funding altogether. Naspers held a 17.7% stake in the company as of June 2014, before leading a $1bn round the following month and reportedly contributing between $50m and $100m to a $700m round in December.
Other investors in Flipkart include IDG Ventures India, which acts as a venture capital affiliate of media company IDG, Greenoaks Capital, Qatar Investment Authority, DST Global, GIC, Morgan Stanley, Sofina, Accel Partners, Vulcan Capital and Iconiq Capital.
Although Flipkart has domestic rivals, most notably Snapdeal, the latest funding was raised in order to ward off US-based Amazon, which is said to be preparing a $5bn investment drive in India after reportedly passing Flipkart in monthly unique visitors in May.
To this end, Flipkart has been hiring top grade talent from Silicon Valley, upgrading its logistics service and diversifying into new areas including advertising. It is also looking to focus more on high-price, high-margin products such as furniture, property and travel.