Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  NSE India Stock Exchange  >  Reliance Industries Ltd    RELIANCE   INE002A01018

RELIANCE INDUSTRIES LTD

(RELIANCE)
  Report
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryAll NewsPress ReleasesOfficial PublicationsSector news

Walmart's Flipkart eyes overseas listing as early as 2021 -sources

share with twitter share with LinkedIn share with facebook
09/16/2020 | 08:31am EDT

NEW DELHI/BENGALURU, Sept 16 (Reuters) - Walmart Inc-controlled Indian e-commerce firm Flipkart is preparing for an initial public offering overseas as early as 2021, which could value the firm up to $50 billion, sources familiar with the company's plans told Reuters.

Bengaluru-based Flipkart, which vies with players such as Amazon.com's local unit in India and India's Reliance Industries, will be aiming for a valuation in the $45-$50 billion range, according to one source with knowledge of the matter.

If achieved, that would mean Walmart would have more than doubled its investment.

Flipkart is likely to choose between Singapore, or the United States for the initial public offering (IPO), said two other sources, who asked not to be named as discussions are private.

"Flipkart is incorporated in Singapore, but listing in the United States, where parent Walmart is headquartered, could give it access to a deeper pool of funds," one of the sources said.

Flipkart and Walmart did not respond to Reuters requests for comment.

The sources said the preparations and discussions have been largely internal for now, but the company is preparing to tap external advisers on the process soon.

The discussions come as India drafts new regulations that could pave the way for domestic companies to directly list overseas.

Two other sources familiar with the plans said that work has begun to ensure compliance, legal and finance functions will meet regulatory standards ahead of a potential listing.

"Right now, the IPO target is more or less considered to be late 2021, or early 2022, but the current crisis has made things a little blurry," said one of these two sources.

The second person added that being "IPO ready" has become a constant refrain in top level meetings internally.

BUMPER VALUATION EYED

Walmart acquired a roughly 77% stake in Flipkart for about $16 billion back in 2018. That deal remains the single largest foreign direct investment in India.

It turned Flipkart's founders Sachin Bansal and Binny Bansal into billionaires, and confirmed Flipkart's status as the country's most successful start-up at the time.

Later that year, Bentonville, Arkansas-headquartered Walmart in a regulatory filing said it could take Flipkart public in four years.

In July this year, Flipkart raised $1.2 billion in fresh funding with Walmart as its lead investor. That round valued Flipkart, which counts China's Tencent, U.S. hedge fund Tiger Global, and Microsoft among its investors, at $24.9 billion.

Flipkart said it would use the funds, to be received in two tranches this fiscal year, to support the development of its e-commerce marketplace as India emerges from the COVID-19 crisis.

Like its rival Amazon, Flipkart began by selling books, but diversified rapidly into sell selling smartphones, clothing and other items. It now competes with Amazon in most categories.

India's e-commerce sector is expected to be worth $99 billion by 2024, according to Goldman Sachs, as more Indians switch to online shopping.

That expanding market has attracted not only global giants such as Walmart and Amazon, but also India's oil-to-telecoms conglomerate Reliance, which has jumped into the fray.

Mumbai-based Reliance this year launched an online grocery service, JioMart, with its billionaire boss Mukesh Ambani telling shareholders in July that deliveries will expand into electronics and fashion products. (Reporting by Sankalp Phartiyal and Nivedita Bhattacharjee; Additional reporting by Anirban Sen and Kane Wu;Editing by Elaine Hardcastle)

Stocks mentioned in the article
ChangeLast1st jan.
AMAZON.COM, INC. 0.66% 3019.79 Delayed Quote.63.42%
MICROSOFT CORPORATION 1.30% 203.19 Delayed Quote.27.20%
RELIANCE INDUSTRIES LTD -2.22% 2181.2 Delayed Quote.48.74%
TENCENT HOLDINGS LIMITED -1.75% 505 End-of-day quote.34.45%
share with twitter share with LinkedIn share with facebook
All news about RELIANCE INDUSTRIES LTD
02:25pIndia's August crude processing drops as raging virus cases dim demand
RE
09/23EXCLUSIVE : PDVSA's customers schedule last oil cargoes amid U.S.-imposed wind-d..
RE
09/23NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/23NEWS HIGHLIGHTS : Top Financial Services News of the Day
DJ
09/23Sensex, Nifty slide for fifth session as Airtel, TCS drag
RE
09/23NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/23NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/23FACTBOX : Reliance raises $22.43 billion from stake sales at retail, digital arm..
RE
09/23KKR to invest $755 million in retail arm of Reliance
RE
09/23NEWS HIGHLIGHTS : Top Company News of the Day
DJ
More news
Financials
Sales 2021 5 306 B 71 797 M 71 797 M
Net income 2021 421 B 5 698 M 5 698 M
Net Debt 2021 1 020 B 13 799 M 13 799 M
P/E ratio 2021 33,7x
Yield 2021 0,30%
Capitalization 13 849 B 187 B 187 B
EV / Sales 2021 2,80x
EV / Sales 2022 2,13x
Nbr of Employees 195 618
Free-Float 50,9%
Chart RELIANCE INDUSTRIES LTD
Duration : Period :
Reliance Industries Ltd Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends RELIANCE INDUSTRIES LTD
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 28
Average target price 2 187,68 INR
Last Close Price 2 181,20 INR
Spread / Highest target 14,6%
Spread / Average Target 0,30%
Spread / Lowest Target -39,5%
EPS Revisions
Managers
NameTitle
Mukesh Dhirubhai Ambani Chairman & Managing Director
Srikanth Venkatachari Joint Chief Financial Officer
Alok Agarwal Joint Chief Financial Officer
Nikhil Rasiklal Meswani Executive Director
Hital Rasiklal Meswani Executive Director
Sector and Competitors
1st jan.Capitalization (M$)
RELIANCE INDUSTRIES LTD48.74%192 532
EXXON MOBIL CORPORATION-50.72%145 409
CHINA PETROLEUM & CHEMICAL CORPORATION-34.12%65 411
BP PLC-49.28%61 424
NESTE OYJ55.19%43 182
PTT-26.14%30 318