Flipkart.com announced that it has raised $20 Million USD from Tiger Global for an undisclosed stake sale in the company. Tiger Global has already invested in Flipkart.com in earlier funding rounds. With this round of funding, the total capital raised by Flipkart.com until now stands at $31 million USD.
The company will use the funds to build further supply chain capacity and improve its technology backbone. Part of the funds will also be used to improve and expand marketing initiatives. Started in 2007, Flipkart.com today sells about 4 books every minute. In 2010, the online e-commerce company expanded to other segments like Electronics, Music, Softwares and Games. Other players in such segments have not been so successful. However, Flipkart achieved success in relatively short period of time.
There is a lot of excitement in e-commerce segment right now and this sector in India is expected to grow by 47% to reach Rs 46,000 crore in 2011, according to a report published by Internet and Mobile Association of India (IMAI). Also, e-retail will contribute about 6 per cent (Rs 2,700 crore by the end of 2011) to the overall e-commerce market.