Softbank sells 20% stake in Flipkart to Walmart
Softbank has announced it is selling its entire stake in Indian ecommerce company Flipkart.
This follows the acquisition by Walmart of a 77% share in the company earlier this month.
Softbank, a Japanese conglomerate holding company which largely has interests in tech, will sell its 20% stake. The shares are worth an estimated $4bn according to LiveMint.
Over the past two weeks since the $16bn Walmart deal, there has been much speculation as to whether Softbank would remain invested.
So far, eBay, Accel Partners and Naspers have sold their shares in the company.
Naspers, a South African internet company, had an 11.18% stake which cost $616mn in 2012 and which was sold to Walmart for $2.2bn.
eBay is amid selling its stake for an expected $1.1bn. It had initially bought the 5% stake for $500mn. eBay is now setting out to relaunch under its own brand in India.
It was actually Softbank’s CEO Son who outed the Walmart deal a day early when highlighting successful investments through Softbank’s Vision Fund. At this point Son suggested that the investment, worth an initial $2.5bn would now be worth up to $4bn.