Flipkart CEO Binny Bansal resigns after personal misconduct investigation

INDIA – Walmart owned Flipkart’s Chief Executive Officer (CEO), Binny Bansal has resigned from the company following an investigation into an alleged ‘serious personal misconduct’. According to the US retail giant, Binny has strongly denied the allegation and though the investigation did not find evidence to assert the allegations, it revealed a lack of transparency in the accused responses. “His decision follows an independent investigation done on behalf of Flipkart and Walmart into an allegation of serious personal misconduct,” said Walmart. Binny had acknowledged in an email sent to employees within…

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Nestle launches noodles brand Maggi on Flipkart’s ecommerce platform in India

ASIA – Nestle India has launched its new Maggi Special Masala Noodles on Walmart-owned online platform Flipkart, solely available via ecommerce until it hits retail stores on August 31. Nestle’s new finely ground and whole spices reiterates the company’s focus on new product development for its instant noodle category. “It will give a chance to Maggi lovers to try this innovation from the convenience of their home. We are confident that this product with its special taste from 20 finely ground and whole spices and specially created bouncier non sticky…

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Online grocery firm Grofers expects US$356m in revenue in 2019 on new additions

ASIA – Indian grocery delivery service Grofers said it expects over US$356.93 million in revenues for the year 2019 based on strong addition of new customers along with increasing cart sizes of existing users, ET Retail has reported. The firm said it currently has a monthly revenue run rate of about US$21.32mn that is, about US$257m for the year, adding that the frequency of shopping for SBC members was 2.5 times that of non-members, while their carts were 30% larger. Smart Bachat Club (SBC), a membership subscription-based service was launched in…

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Competition Commission of India clears Walmart’s US$16bn Flipkart acquisition

INDIA- The Indian regulator has approved Walmart’s US$16 billion acquisition of India’s largest e-commerce firm Flipkart, its biggest takeover ever in a fast growing retail space. In May, Walmart announced the acquisition of 77% stake of Flipkart to beef up competition against its rival Amazon who acquired Whole Foods, the American organic products retailer for US$13.7bn last year. The deal values Flipkart at US$20.8 billion, according to Times of India, is set to disrupt the online delivery space estimated to grow to about US$200 million in a decade. “Walmart remains…

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Flipkart to close eBay.in as it plans to relaunch a new platform in India

INDIA – Flipkart, the Bengaluru based ecommerce company will from August 2018 shut down eBay.in, a business-to-consumer platform it had been operating for the last one year in partnership with eBay, reported ET Retail. Flipkart will launch a new platform in India to sell refurbished goods after eBay announced in May it had ended its strategic partnership with Flipkart and that it plans to relaunch eBay India with a differentiated offering. Customer transactions on eBay will end on August 14 as a way to transition buyers to its new platform…

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Online grocery service Grofers to enter FMCG segment targeting US$364m in sales

INDIA – The Indian online grocery delivery service, Grofers has entered the fast moving consumer goods segment (FMCG) with a target to achieve more than US$364.7 million in revenue in the financial year 2019. The grocery firm targeting stronger business growth with 50% coming from its private brands after it recorded US$138.6 million sales in the marketing year 2018. To achieve the profitable agenda, the company has launched seven new brands under the two categories that is, Budget and Popular G-Brands. In addition to rolling out over 500 SKUs (stock…

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Walmart’s revenue beat forecasts reaping big on online sales

USA – The American retail giant, Walmart’s revenue rose almost 2% higher than the forecasts to US$122.69 billion boosted by US online sales which grew 33% in the quarterly results. Earnings were up to US$1.14 cents per share as opposed to US$1.12 per share forecast by Thomson Reuters. Walmart e-commerce push reaped well on high U.S. same-store sales which increased 2.1% attributed to its investment in the online grocery deliveries and website design, which all paid off. In the previous quarter, the retailer saw a slowdown on online order even…

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Naspers to advance investments in SA’s rapidly growing food delivery market

SOUTH AFRICA – The South African tech and ecommerce giant Naspers Ltd has declared interest to ramp-up investments in South African food delivery business Mr D Food after selling its 11.18% stake in India’s largest e-commerce marketplace, Flipkart, to US retail juggernaut Walmart. According to Business Day, the company also raised US$12.18 billion from selling part of its stake in China’s Tencent reducing its investment in the company from 33.2% to 31.2%, with Naspers still remaining the largest investor in that company. Naspers is eying SA’s online food delivery market…

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Walmart acquires Flipkart for US $16b in one of the largest-ever ecommerce deals

INDIA – Walmart Inc. on has announced its high profile acquisition of Flipkart for US$16 billion for a valuation of over US$20 billion, making it the largest ecommerce acquisition in the world. ET Retail has reported that the 77% acquisition deal of the Bengaluru-based company, as per sources, is also the largest buyout for the US company with its biggest bet ever in online space. In India, it underscores the growing digital consumption potential in a country of 1.3billion. This announcement culminates discussions between Walmart and the Bengaluru company that…

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Walmart nears close of majority stake deal in India’s Flipkart

USA – Walmart, the American multinational retail corporation is likely to close a deal to acquire majority stake in the Indian ecommerce company, Flipkart by June in what ET Retail reports could be the biggest acquisition of an online business by the retailer. Walmart is stepping up its online business against Amazon, which Bloomberg reports was also eying the online market in India, having preferred to acquire a significant stake in Flipkart. According to some sources, Amazon has reportedly proposed to offer a high breakup fee for Flipkart, but Flipkart…

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