The Story of Two Bansals, a $16 Billion Deal, and a Singapore U-Turn
Picture this: October 2007. Two young IIT Delhi graduates, Sachin Bansal and Binny Bansal (no relation, despite sharing the surname), quit their comfortable jobs at Amazon. With just ₹4 lakh in capital and a second-hand desk, they started an online bookstore from a cramped 2BHK apartment in Koramangala, Bengaluru.
India's internet penetration was dismal. Credit cards were rare. Cash-on-delivery was an alien concept in e-commerce. But these two believed in something audacious—that Indians would buy books online.
They named it Flipkart.
Fast forward to December 2024: Flipkart just received approval from the National Company Law Tribunal (NCLT) to shift its legal domicile from Singapore back to India. This reverse flip is the final lap before what could be India's largest consumer internet IPO, targeting a valuation of $60-70 billion in 2026.
But how did an Indian startup that "flipped" to Singapore in 2011 now desperately want to come back home? And why did Walmart pay $16 billion for a loss-making e-commerce company in 2018? Let's decode this fascinating journey.
Flipkart's first order was a book: Leaving Microsoft to Change the World by John Wood. Sachin himself delivered it. By 2008, revenue was just ₹40 million. But the founders were relentless.
In 2010, Tiger Global made its first bet—investing in Flipkart's Series A round. This was followed by Accel Partners, who backed the company when it was still figuring out logistics. These early investors saw something the market didn't: India's e-commerce market was a sleeping giant.
In 2011, Flipkart made a strategic decision that most Indian startups followed at the time—it shifted its corporate headquarters to Singapore. Why?
This "flip" became the template for Indian unicorns—Zomato, Paytm, MakeMyTrip, and dozens of others followed suit.
Between 2010-2017, Flipkart raised over $7 billion from marquee investors:
By 2017, Flipkart's valuation peaked at $21 billion, making it India's most valuable startup.
On May 9, 2018, Walmart made the biggest e-commerce acquisition in history: it paid $16 billion for a 77% stake in Flipkart, valuing the company at around $21 billion.
This wasn't just big—it was enormous:
1. The India Opportunity
2. The Amazon Factor Amazon had entered India in 2013 and was burning billions to gain market share. Walmart needed a "buy, don't build" strategy to compete. Acquiring Flipkart gave them:
3. The Tech Angle Flipkart wasn't just a retailer—it was a technology company. Its subsidiaries included:
The acquisition had mixed results:
Winners:
The Transformation: Post-acquisition, Walmart infused $3.5 billion more to consolidate its position to ~85% ownership as of 2024. Current shareholders:
Let's talk numbers. Despite being valued at $35-36 billion today, Flipkart has never made a profit. Here's the financial reality from FY2022 to FY2025:
| Metric (₹ Crore) | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Net Revenue | 10,477 | 14,798 | 17,855 | 20,434 |
| Operating Cost | 14,585 | 18,524 | 20,002 | 21,906 |
| Operating Loss | (4,108) | (3,726) | (2,147) | (1,472) |
| Net Loss | (4,381) | (3,947) | (2,296) | (1,569) |
The Good:
The Concerning:
The Strategy: Flipkart is playing the "growth first, profits later" game—classic Amazon playbook. Invest heavily in:
The bet: Once you dominate, profits will follow.
After 13 years in Singapore, why is Flipkart rushing back to India?
Flipkart wants to list in India in 2026, not in the US or Singapore. Why? Because:
To list in India, you must be domiciled in India. Simple.
The Indian government has been rolling out the red carpet for reverse flips:
PhonePe's precedent: Flipkart's sibling, PhonePe, successfully flipped back to India in 2022, paying ₹8,000 crore in taxes. It's now preparing for its own $1.5 billion IPO.
Let's be honest—there's a symbolic element too. An Indian company, serving Indian customers, creating Indian jobs, should be headquartered in India. It sends a powerful message to:
The reverse flip allows Flipkart to consolidate everything under one roof:
One parent. One balance sheet. One story for IPO investors.
India's e-commerce market is projected to reach $350 billion by 2030. But the battle is brutal:
Flipkart's GMV (Gross Merchandise Value) reached $8.5 billion in FY24, but Amazon is breathing down its neck.
Is this justified? Maybe. If Flipkart can:
Here's the kicker: Flipkart fully separated PhonePe in December 2022. PhonePe is now valued at $12 billion and processing 50%+ of India's UPI transactions. Had Flipkart kept PhonePe, its combined valuation would be $47-48 billion today.
The separation allowed both to pursue independent IPOs, but some wonder if Flipkart gave up its crown jewel.
Flipkart's journey—from a ₹4 lakh startup to a potential $60 billion behemoth—is the quintessential Indian startup story. It's about ambition, resilience, and the audacity to dream big.
The decision to return to India is more than just regulatory convenience—it's a bet that India is ready to nurture, support, and celebrate its own tech giants.
As the NCLT approval clears the path, one question looms: Will Flipkart's IPO be the crowning glory of India's startup decade, or a cautionary tale of valuation exuberance?
We'll find out in 2026. Until then, the two Bansals who started with books have certainly written one hell of a business story.
What do you think? Is Flipkart's $60-70 billion valuation justified? Will you invest in the IPO? Let us know!
