Flipkart Co-Founder Sells Equity Stocks to Amazon

Bengaluru, June 24, 2019:

Co-founder of India's leading e-tailer Flipkart, Binny Bansal sold around 54 lakh of his equity shares to world's retail giant Walmart's Luxembourg entity FIT Holdings SARL. The shares valued at $76.4 million which is Rs 531 crore.

Walmart increased its equity holding in Flipkart by buying 5,39,912 shares.

According to regulatory filings by Flipkart, Bansal transferred 5,39,912 of his shares to Walmart's entity for a cash consideration of $76.4 million," it added.

Though the other co-founder Sachin Bansal exited Flipkart when Walmart bought controlling stake (77 per cent) in it for a whopping $16 billion on May 9, 2018, Binny stayed on to lead its management team.

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Reports said that Binny, however, resigned a few months later (November 13, 2018) after an investigation by Walmart into allegations of personal misconduct (sexual harassment) on his part.

The latest sell-off, however, is not Binny Bansal's first monetisation of his equity holding in 12-year-old Flipkart.

Binny's holding fell to 63,53,838 shares post-acquisition from 74,76,271 in pre-acquisition. He sold 11,22,433 shares of his for $159 million when Walmart took over Flipkart," said the officials.

Binny Bansal's holding has reduced 0.33 per cent to 3.52 per cent from 3.85 per cent after the current sale proceedings. The financial data platform for private markets has derived the share holding in Walmart from its current Esop pool.