Flipkart’s Bansal duo’s valuation crosses $1 billion mark over fresh fund raising row

With Indian eCommerce market gaining pace and the competition getting tougher, leading firms including Flipkart, Amazon, Snapdeal and Paytm are leaving no stone unturned to expand as much as possible.
As per an Economic Times report, Flipkart, lately has closed a funding round of $700 million (Rs 4,500 crore) at a valuation of $15 billion, scooping up capital for the first time this year.

Officials aware of the development informed that New York-based hedge fund Tiger Global and existing Flipkart investors including Steadview Capital also participated in the fundraise program after which Flipkart co-founders Sachin Bansal's and Binny Bansal's holdings of about 8.5% each in India's most valuable online marketplace raised to more than $1 billion.

Flipkart, however, declined to make any comment on the matter.

If reports are to be believed, eCommerce giant Amazon has been trying a $5-billion war chest to grow India into its largest market outside the United States. Though Flipkart’s latest fundraise programs were not expected so early.

Flipkart, since early hit year, had also been in talks with New York-based hedge fund Tiger Global and other investors for another massive round of fundraising of a minimum of $1 billion.

Ecommerce startups including Snapdeal and Paytm are also growing like anything and might give competition to the established firms.
Flipkart, on the other side, is paying a handsome sum of amount to hire talent from Silicon Valley, scale up its logistics and delivery engine, as well as venture into new businesses such as advertising.

In December, Flipkart secured $700 million at a valuation of about $11 billion only six months after it had raised $1 billion, making 2014 a record year for the company.