Walmart-owned e-commerce giant Flipkart has officially announced it is moving its holding company back to India from Singapore. The move, which comes ahead of Flipkart’s anticipated Initial Public Offering (IPO) on Indian stock exchanges, reflects the company’s intent to align its structure with its primary market and operations. The transition is expected to simplify regulatory processes and position the company more favorably for public investors.
Strategic Rationale Behind the Move
In a statement released on Monday, Flipkart explained that returning to India marks a “natural evolution,” aligning with the vast potential of the Indian economy. Founded in Bengaluru in 2007, the company had shifted its base to Singapore in 2011 to attract foreign investments and benefit from a more favorable tax regime. However, with the Indian regulatory landscape now more conducive and investor confidence at an all-time high, Flipkart sees greater strategic value in re-domiciling to India.
Part of a Broader Trend Among Indian Startups
Flipkart’s move follows similar actions by other major startups such as PhonePe, Zepto, Groww, Razorpay, and InMobi. These firms have also relocated their headquarters to India in preparation for IPOs, aiming to leverage the stronger valuations and growing appetite of domestic capital markets. PhonePe, which separated from Flipkart in 2022, made the shift last year, incurring a reported $1 billion tax cost for Walmart.
Setting the Stage for a Blockbuster IPO
India’s equity markets are riding a wave of bullish sentiment. IPOs alone accounted for $19 billion out of India’s record $70 billion equity deal volume in 2023, according to Goldman Sachs. Flipkart was last valued at $36 billion in 2024 and recently received a $350 million investment from Google, part of a larger $1 billion funding round.
If listed at similar or higher valuations, Flipkart’s IPO could surpass Hyundai’s $19 billion IPO of 2024, making it one of the most significant public offerings in India’s history. The move is expected to occur within the next 12 to 18 months, although a formal timeline has not been disclosed.
Walmart Strengthens Control
Walmart, which acquired a controlling stake in Flipkart in 2018, now owns 85% of the company following a $3.5 billion investment earlier this year. Other notable stakeholders include Tiger Global Management, DST Global, Google, Qatar Investment Authority, and GIC (Singapore’s sovereign wealth fund).
Domicile Shift: A Step Toward Simpler Governance
This move is not just symbolic—it also simplifies compliance and governance for the company. With India not permitting dual listings, companies must be domiciled locally to go public. Flipkart’s re-domiciling effort is aimed at streamlining the IPO process, reducing administrative overhead, and aligning more closely with government initiatives to support digital entrepreneurship.
A Homecoming with Purpose
“As a company born and nurtured in India, this transition will further enhance our focus and agility in serving our customers, sellers, partners, and communities,” Flipkart said in its statement. As Flipkart returns home, it sets the stage for a new era of Indian tech IPOs, signaling confidence in the country’s economy and its future as a global tech powerhouse.
