• Rajasthan

    Cong 103
    BJP 70
    RLM 3
    OTH 23
  • Madhya Pradesh

    Cong 117
    BJP 104
    BSP 2
    OTH 7
  • Chhattisgarh

    Cong 63
    BJP 18
    JCC 9
    OTH 0
  • Telangana

    TRS-AIMIM 94
    TDP-Cong 22
    BJP 1
    OTH 2
  • Mizoram

    MNF 26
    Cong 5
    BJP 1
    OTH 8

* Total Tally Reflects Leads + Wins

Flipkart sale to Walmart: Tiger Global is said to reap $3 billion from deal

By: | Published: May 10, 2018 1:04 PM

Tiger Global Management is purring all the way to the bank after Walmart Inc.’s Flipkart deal. The firm has made about $3 billion after investing $1 billion in Flipkart Group, according to a person familiar with the matter, who asked not to be named.

Tiger Global is said to reap billion from Flipkart Walmart deal (Image: moneycontrol.com)

Tiger Global Management is purring all the way to the bank after Walmart Inc.’s Flipkart deal. The firm has made about $3 billion after investing $1 billion in Flipkart Group, according to a person familiar with the matter, who asked not to be named. Walmart will acquire a majority stake in India’s biggest online retailer, the companies said Wednesday.

For Tiger Global, the return on investment, in dollar terms, is one of the largest for the firm’s $11 billion venture capital unit, the person said. The division, led by Lee Fixel, started backing Flipkart in 2009, with an initial $9 million investment. It ramped up its investment over several years to $1 billion, owning about 20 percent of Flipkart. Last year it sold part of its stake to SoftBank Group Corp. As part of the Walmart deal, Tiger Global sold about three-quarters of its position to the retailer.

After the transaction is completed, Tiger Global will hold a five percent stake in Flipkart and Fixel will keep his seat on the company’s board, the person said. Walmart’s purchase of 77 percent of Flipkart values the online behemoth at $20.8 billion. A spokeswoman for Tiger Global, which also has a hedge fund business and oversees $22 billion overall, declined to comment.

Tiger Global’s venture operation has made more than 200 investments in 30 countries, the person said. Among them is an almost $2 billion position in Spotify Technology SA, one of its largest positions. Chase Coleman founded New York-based Tiger Global in 2001. He is a so-called “tiger cub,” a term coined for alumni of Julian Robertson’s hedge fund Tiger Management, where Coleman was a technology analyst.

Other investors benefiting from the transaction include Microsoft Corp. co-founder Paul Allen, whose 0.8 percent stake is now valued at $159 million, and Iconiq Capital, which manages the wealth of technology entrepreneurs including Mark Zuckerberg. It has a $327 million holding in Flipkart. Even a retirement program for NFL players has scored a return with its 0.003 percent stake now worth half a million dollars, according to a Bloomberg analysis of the company’s annual return filed in Singapore.

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