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Walmart May Seek Flipkart IPO

Walmart May Seek Flipkart IPO

Walmart May Seek Flipkart IPO
May 12
23:04 2018

Walmart may eventually take Flipkart public.

In a filing with the Securities and Exchange Commission on Friday, the retailer said that minority shareholders holding 60 percent of the Indian e-commerce company’s stock, “acting together, may require Flipkart to effect an initial public offering following the fourth anniversary of closing of the transactions at a valuation no less than that paid by Walmart.”
As reported, Walmart Stores Inc. last week said it will invest $16 billion to buy a 77 percent stake in India’s largest e-commerce company which is valued at $20.8 billion.

It is expected that Flipkart’s chief executive officer Kalyan Krishnamurthy will continue in that position, while one of the founders, Sachin Bansal, will leave the company.

But Bansai is expected to remain on the board of directors. According to the filing, the Flipkart board will initially have eight directors: five appointed by Walmart, two by the minority shareholders and Bansal.
“For at least two years following closing of the transactions, two of the Walmart-appointed directors must be unaffiliated with Walmart,” the filing said. The board may be increased to nine members at any time, it detailed, with Walmart appointing the representative who also must be unaffiliated with the retailer.
The filing also said Walmart may “appoint

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