Ashwajit Singh, MD, IPE Global features on News18.com
IPE Global | News | May 18, 2018 IST
New Delhi: The billion dollar Walmart-Flipkart deal was overpriced with a justification of high growth prospects, according to multiple market experts.
They believe the acquisition may be a green signal for more global giants to foray into the Indian startup space. “It seems that the valuation Walmart has given to Flipkart is on the higher side, which affected adversely the market cap of Walmart in the US market showing a decline in market cap of close to around 10 million dollars on that particular day. Its seems that from the US capital market perception it was an overpriced valuation,” said Ashwajit Singh, Managing Director of IPE Global.
US giant Walmart Inc on May 9 said it is buying 77 percent stake in Flipkart for about USD 16 billion (Rs 1.05 lakh crore), its biggest deal which will give the retailer access to Indian e-commerce market that is estimated to grow to USD 200 billion within a decade.
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