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Bansal invokes Uber against markdowns
MUMBAI: Battling successive markdowns in valuation by investors and third-parties, Flipkart’s chairman Sachin Bansal said such cuts are their “opinions” and cited
MUMBAI: Battling successive markdowns in valuation by investors and third-parties, Flipkart’s chairman Sachin Bansal said such cuts are their “opinions” and cited the case of Uber to illustrate that it will not impact fund-raising plans of the e-commerce major.
“That (markdowns) does not matter. If you look... they did it to Uber as well. Uber raised (money) at a higher valuation. They did it to one more company, they also raised money at higher valuation,” Bansal said when asked about the recent markdown by Morgan Stanley.
Morgan Stanley Mutual Fund Trust, an investor in the company, had in May lowered its estimate of the valuation of the Bengaluru-based e-commerce company by 15.5% to $9.39 billion. At its peak, Flipkart was valued at over $15 billion.
Asked about the government’ s move to allow retail stores to remain open round the clock, Bansal said this will not impact online sellers. He was quick to add that e-commerce penetration in the country is very low with only 2% of the overall shopping happening online.
