Softbank proposes to buy Flipkart shares at a reduced valuation
Softbank has reportedly sought to buy Flipkart shares from its investors and former employees at a reduced valuation.
- Softbank wants to buy shares of Flipkart at a reduced valuation.
- Flipkart was valued at $11.6 billion in 2017.
- Softbank has offered to buy Flipkart’s shares in a range of $85-89 per share.
Softbank has made a proposition to buy Flipkart’s shares from the e-commerce giant’s investors and former employees.
The Japanese telecom and internet conglomerate is offering to buy an undisclosed number of Flipkart shares at a reduced valuation in the range of $10 billion, a report by Live Mint said on Thursday.
The report added that Softbank has offered to buy Flipkart’s shares in a range of $85-89 per share.
However, the homegrown e-commerce website of Flipkart was previously valued at $11.6 billion after raising a round of funding from Tencent Holdings among other investors.
Softbank became one of the largest shareholders in Flipkart with its investment of $2.4 billion.
Another big investor in Flipkart, Tiger Global Management is expected to sell shares worth $700 million, the report added.
- Flipkart now valued at $11.6 billion after Softbank's $2.4 billion
- Flipkart to spend $1.4 billion investment after careful cost considerations, says Binny Bansal