The Walmart – Flipkart deal is NOW official which means that Walmart is acquiring Flipkart and Walmart will pay approximately $16 billion for an initial stake of approximately 77 percent in Flipkart.

The Bansals!

Walmart / Flipakrt Deal Details

Walmart’s investment includes $2 billion of new equity funding, which will help Flipkart accelerate growth in the future. Walmart and Flipkart are also in discussions with additional potential investors who may join the round, which could result in Walmart’s investment stake moving lower after the transaction is complete. Even so, the company would retain clear majority ownership. Tencent and Tiger Global will continue on the Flipkart board, joined by new members from Walmart. The final make-up of the board has yet to be determined, but it will also include independent members. The board will work to maintain Flipkart’s core values and entrepreneurial spirit, while ensuring it has strategic and competitive advantages. Closing is expected later this calendar year, subject to regulatory approval.

This is definitely a big big deal for the startup ecosystem (the first mega exit), though we have a different view on that. The deal, we hope will bring more global attention to Indian startups which certainly helps the ecosystem.

Post acquisition, Sachin Bansal will exit Flipkart and will sell his stake for $1Bn ! Which is quite an inspiration for many founders out there.

Video: When Flipkart Was a Startup

Flipkart wasn’t this badass company always – do watch Sachin Bansal talk about Flipkart, the journey and the uncertainty in the market.

This was their first public talk which happened at UnPluggd, India’s largest startup and tech conference.