Domestic e-commerce company Flipkart is likely to facilitate a $700 million employee share buyback as part of a new funding round for digital payments platform PhonePe. According to reports from various media houses, PhonePe will have a different shareholding structure and Flipkart’s valuation will increase from $37.6 billion to $33 billion.
This is the company’s fourth ESOP buyback and reports say a formal announcement will be made next month. It bought back $80 million worth of stock from employees in 2021 after raising $3.6 billion. Earlier, Flipkart did a $500 million ESOP buyback in 2018 ahead of its eventual acquisition by Walmart. This will lead to the major ESOP buyback of Walmart-owned Flipkart in the Indian startup ecosystem.
The buyback should happen across the Flipkart group of companies, including Flipkart, PhonePe and Myntra. Employees will have the option to reinvest in shares through a new shareholding model or cash out in the secondary market.
Related Tags
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Securities Support WhatsApp Number
+91 9892691696
Download The App Now
Follow us on
2024, IIFL Securities Ltd. All Rights Reserved
www.indiainfoline.com is part of the IIFL Group, a leading financial services player and a diversified NBFC. The site provides comprehensive and real time information on Indian corporates, sectors, financial markets and economy. On the site we feature industry and political leaders, entrepreneurs, and trend setters. The research, personal finance and market tutorial sections are widely followed by students, academia, corporates and investors among others.
Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.
Invest wise with Expert advice
