Raising funds helps us make optimal decisions: Flipkart CEO

After the big-ticket Myntra acquisition, Sachin Bansal, CEO, Flipkart may be considering another one as he continues to top up his bank account with dollars from a string of new global investors.

The latest is Russia's DST Global which has also invested in companies like Facebook, Twitter, Alibaba Group, Spotify and AirBnB. On Monday, the company said it is raising USD $210 million from DST Global. On the latest round of funding, Bansal said, "Raising funds and having money in the bank gives us the flexibility to take optimal decisions as and when opportunities come up.  For example, if we want to expand faster, invest more aggressively in supply-chain, or if there is an acquisition opportunity - the funds should give us adequate flexibility to make the decisions we think are best for the business."

Flipkart which is not profitable yet, continues to focus on growing marketshare as India's ecommerce market continues to grow, rather than achieving cost efficiencies.

As per Bansal, the usage of these funds will be more towards capital expenditure and taking bigger bets than supporting operating cash burn. "E-commerce is a capital intensive industry. India is going to be the third biggest e-commerce market in the world and anyone who wants to build a large e-commerce company will need capital."