Flipkart Unlisted Share Price

Introduction to Flipkart

Flipkart, one of India’s largest e-commerce platforms, has revolutionized the way Indians shop online. Established in 2007, Flipkart offers a vast array of products across categories such as electronics, fashion, home essentials, groceries, and more. Known for its customer-centric approach, Flipkart has continually innovated to enhance the online shopping experience in India.

Flipkart: Company Overview

Founded by Sachin Bansal and Binny Bansal in October 2007, Flipkart started as an online bookstore. Over the years, it expanded its product range to include electronics, fashion, and lifestyle products, becoming a household name in India. Walmart acquired a 77% stake in Flipkart in 2018, marking one of the largest e-commerce deals globally.

Fundamentals of Flipkart

Flipkart operates on a robust e-commerce model, leveraging advanced technology, a vast logistics network, and strategic partnerships. The company has consistently focused on improving customer satisfaction through innovative services like Flipkart Plus, quick delivery options, and an extensive product catalog.
 

Flipkart Shareholding Structure

As of the latest data, Walmart remains the majority shareholder in Flipkart, holding approximately 77% of the company. Other significant shareholders include Flipkart's founders, venture capital firms, and employees through ESOPs (Employee Stock Ownership Plans).

Major Shareholders

Flipkart Latest Financials(FY 23)

Source: The Arc (https://thearcweb.com/company/flipkart)

Flipkart Board of Directors

Flipkart's board comprises experienced professionals and industry veterans who guide the company's strategic direction.

Key Members

- Doug McMillon: President and CEO of Walmart Inc.

- Kalyan Krishnamurthy: CEO of Flipkart

- Steuart Walton: Director of Walmart Inc.

- Rajesh Magow: Co-Founder and Group CEO of MakeMyTrip

Products and Services of Flipkart

Flipkart offers a wide range of products and services, including:

- Electronics: Smartphones, laptops, home appliances, and more.

- Fashion: Clothing, accessories, and footwear.

- Home Essentials: Furniture, decor, and kitchenware.

- Grocery: Daily essentials through Flipkart Supermart.

- Digital Services: Flipkart Video, Flipkart Plus, and more.

Latest Developments and News

- Walmart-Backed Growth: Continued investment from Walmart to expand Flipkart's market reach and technological capabilities.

- Flipkart Wholesale: Launch of B2B e-commerce platform catering to small businesses.

- Strategic Acquisitions: Acquisitions of companies like Myntra and Jabong to strengthen its fashion segment.

How to Buy Flipkart Unlisted Shares 

Buying Flipkart unlisted shares involves purchasing equity shares not traded on public stock exchanges. Interested investors typically engage with private equity firms, venture capitalists, or brokers specializing in unlisted shares. The process includes:

1. Identifying a Broker: Find a broker dealing in unlisted shares.

2. Due Diligence: Conduct thorough research on Flipkart’s financials and growth prospects.

3. Negotiating Terms: Agree on the share price and transaction terms with the broker.

4. Legal Documentation: Complete necessary legal and financial documentation.

5. Payment and Transfer: Transfer funds and receive share certificates or demat account credits.

Risks of Buying Flipkart Unlisted Shares

- Liquidity Risk: Unlisted shares are less liquid, making them harder to sell quickly.

- Valuation Risk: The valuation of unlisted shares can be subjective and fluctuate widely.

- Regulatory Risk: Changes in regulations can impact the value and trading of unlisted shares.

Tax Implications of Flipkart Unlisted Shares

- Capital Gains Tax: Profits from selling unlisted shares are subject to capital gains tax. Long-term gains (held for more than 24 months) are taxed at 20% with indexation benefits. Short-term gains are taxed as per the investor’s income tax slab.

- Dividend Tax: Dividends received from unlisted shares are taxed according to the investor’s applicable income tax slab.

- Wealth Tax: In some jurisdictions, unlisted shares may be subject to wealth tax, depending on the investor’s overall asset portfolio.

Investors should consult with tax professionals to understand specific tax implications based on their individual circumstances and the latest tax laws.

Conclusion

Investing in Flipkart unlisted shares offers a unique opportunity to be part of one of India's largest e-commerce giants. However, potential investors should carefully consider the risks and conduct thorough due diligence. Using the above guide, investors can navigate the process of buying Flipkart unlisted shares and make informed decisions to potentially enhance their investment portfolio.