Google to invest $350 million in India's Flipkart, valuing co at $37 billion, source says

FILE PHOTO: A robotic arm assembles a carton box to pack goods at a Flipkart, a leading e-commerce firm in India, fulfilment centre on the outskirts of Bengaluru, India, September 23, 2021. REUTERS/Samuel Rajkumar/File Photo

BENGALURU (Reuters) - Alphabet's Google will pick up a minority stake worth $350 million in Walmart-backed Flipkart, valuing the Indian e-commerce firm at $37 billion, a source with direct knowledge of the matter told Reuters.

Google and Flipkart were not immediately available to confirm the value of the investment.

The tech giant will join in as an investor in the latest funding round for the Bengaluru-based company, Flipkart said in a statement.

The round will be led by Walmart, Flipkart's biggest shareholder and will make Google a minority investor, subject to approvals.

"Google’s proposed investment and its Cloud collaboration will help Flipkart expand its business and advance the modernization of its digital infrastructure to serve customers across the country," Flipkart said in a statement.

In December 2023, a Flipkart spokesperson confirmed that Walmart was set to infuse $600 mln in the company as part of a $1 billion round.

Flipkart has been a source of IPO speculation since Walmart took over the company, which competes with Amazon.com in India.

Earlier this month, executives at the U.S. retail giant said they are "looking and exploring" for the right time for Flipkart's initial public offering.

(Reporting by Haripriya Suresh and Ashwin Manikandan in Bengaluru; Editing by Tasim Zahid)