Former Flipkart co-founder, Binny Bansal, has set his sights on a fresh venture within India’s rapidly expanding e-commerce sector.
Having recently divested his remaining stake in Flipkart, Bansal is reportedly charting a course to establish a new e-commerce startup, as reported by Money Control. Notably, sources suggest that Bansal’s approach will differ from conventional fundraising routes, as he intends to finance the new venture using his personal capital.
This decision follows Bansal’s substantial financial gain of approximately $1 to $1.5 billion from the sale of his Flipkart shares.
Binny Bansal, co-founder of Flipkart alongside Sachin Bansal, made his departure from the company in 2018 following its acquisition by Walmart for approximately $16 billion.
In the realm of startup investments, Binny’s influence has been considerable, with backing provided to roughly 60 startups. Notable beneficiaries of his support include Acko, Ather Energy, Curefoods, Cultfit, BrightChamps, Unacademy, and Yulu, among others.
In the previous year, Binny Bansal engaged in a notable financial transaction, selling his stake valued at $264 million (over Rs 2,000 crore) in the indigenous e-commerce platform to the Chinese internet powerhouse, Tencent.
Sachin and Binny Bansal, both holders of a B.Tech degree in computer science & engineering from IIT-D in 2005, played a pivotal role in the establishment of one of India’s foremost e-commerce platforms.
Sachin took on the mantle of Flipkart’s CEO upon its founding in 2007, a position he held until 2015. Subsequently, he assumed the role of Executive Chairman in 2016. Presently, Sachin is immersed in guiding and nurturing India’s startup and internet ecosystem, extending his influence as an angel investor across numerous technology startups.
Binny, on the other hand, was at the helm of Flipkart’s operations as its CEO until January 2016, when he advanced to the position of Chief Executive Officer. Departing from Flipkart in November 2018, Binny redirected his energy into prolifically backing startups as an angel investor.
In the preceding month, Walmart, the prominent retail entity, completed a transaction amounting to $1.4 billion, securing VC firm Tiger Global’s remaining shares in Flipkart.
Sources, including a report from the Wall Street Journal, confirm that this financial arrangement was orchestrated to fortify Flipkart’s ownership structure. By procuring Tiger Global’s remaining stake, Walmart solidified its commanding influence over the Indian e-commerce powerhouse.
Tiger Global’s strategic maneuvering proved lucrative, yielding a substantial $3.5 billion profit on an initial investment of $1.2 billion.
During a funding round in 2021, Flipkart’s valuation reached $37.6 billion, highlighting its robust standing. As of the latest available data, Walmart’s ownership stake in Flipkart stood at 72 percent.
Read more: Zerodha Gains SEBI Approval for AMC Venture: A New Chapter in India’s Investment Landscape
