Fighting with giants such as Amazon and Reliance Retail in the Indian market, Flipkart invested 203 million dollars in Aditya Birla Fashion and Retail, which operates under the umbrella of Walmart. Appearing as one of the largest fashion-oriented e-commerce brands in the world, 7.8% of Aditya’s shares will be transferred to Flipkart once the investment is completed in the stock market.
Being named in more than 3,000 physical stores at the moment, Aditya appears to be the first name applied by e-commerce platforms to establish a presence in India. As you can imagine; Both the brands operating under the company and the products of the names that the company has agreements with are selling out across the country.
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The Indian clothing industry, which is expected to have a valuation of $ 100 billion in the next 5 years, is one of the strengths of Reliance Retail. If we need to touch on the power ranking in the ecosystem, Flipkart surpassed Amazon with this step and became right behind Reliance Retail. On the other hand, Amazon is still struggling with various legal problems. In fact, one of the ongoing lawsuits of the company is related to the Future Group, which is under Reliance Retail.
According to Flipkart CEO Kalyan Krishnamurthy, the new investment will not only merge the relations of the two companies; The company will also design new products together with Aditya. As a result of the cooperation that will emerge, various changes will occur in the platforms of both companies.