Flipkart moves HQ from Singapore to India ahead of IPO
What's the story
Walmart-owned Flipkart, a dominant player in the Indian e-commerce space, is shifting its headquarters from Singapore to India.
The move comes as the company gears up for an initial public offering (IPO) on Indian stock exchanges.
Flipkart announced the decision, saying that the transition "represents a natural evolution, aligning our holding structure with our core operations and the vast potential of the Indian economy."
Company history
Flipkart's journey and reasons for relocation
Founded in 2007 in Bengaluru, Flipkart shifted its headquarters to Singapore in 2011.
The move was motivated by the need to attract foreign investments, utilize tax benefits, and deal with bureaucratic hurdles more easily.
Now, stressing on the need to move to India, a Flipkart spokesperson said, "As a company born and nurtured in India, this transition will further enhance our focus...in serving our customers...to continue contributing to the nation's growing digital economy."
IPO preparation
IPO plans and the Indian market
The move to relocate Flipkart's headquarters is pending necessary approvals, with a timeline yet to be revealed.
However, it is expected that the company will file for an IPO in India next year.
This comes after Walmart-backed PhonePe decided to move its headquarters from Singapore back to India in late 2022, and other start-ups like Zepto and Groww also moved their bases back home.
Financial status
Flipkart's recent funding and market outlook
The announcement of Flipkart's headquarters relocation comes nearly a year after it raised $350 million from Google as part of a nearly $1 billion funding round started in 2023.
The firm was valued at $36 billion in the investment round.
Despite the current public market conditions not being as favorable as they were until late last year, investors remain optimistic about India's growth potential, with several companies gearing up for public listings this year and next.