Walmart-owned Flipkart exploring US IPO through SPAC route

Online e-commerce company Flipkart is mulling its initial public offering (IPO) in the US through a Special Purpose Acquisition Company (SPAC).

The Walmart-owned company has been considering its US listing for quite some time and is now considering other options to quicken the process, Bloomberg reported citing sources.

SPAC, also called as a blank-check company, is a company without any commercial operations, formed to raise money from public investors for IPO.

Flipkart can seek a valuation of about $35 billion, and its advisers have approached many SPACs, a source said. The deliberations are at an early stage and the e-commerce company can also explore other options.

Flipkart competes with Amazon in the e-commerce market in India. It was acquired by Walmart in 2018. In July last year, Walmart led a $1.2-billion funding round in Flipkart, valuing the e-commerce firm at $24.9 billion.

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