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Flipkart Announces Investment Of $1.4 Billion From Consortium Of Global Blue Chip Tech Companies

Flipkart Announces Investment Of $1.4 Billion From Consortium Of Global Blue Chip Tech Companies
  • Tencent, eBay and Microsoft join Flipkart as strategic investors in largest funding round in its history
  • Largest capital raise ever in the Indian internet sector
  • Growth capital to extend and cement Flipkart’s position as the e-commerce leader in India

Bangalore – April 10, 2017: Flipkart Group, India’s leading e-commerce marketplace, has
raised a total of $1.4 billion from Tencent, eBay and Microsoft - three of the world’s premier
technology companies. This investment adds to an existing group of marquee investors that
include Tiger Global Management, Naspers Group, Accel Partners and DST Global.

The latest funding round, at a post-transaction valuation of $11.6 billion, is the largest in
Flipkart’s 10-year history as well as in the Indian internet sector and comes as Flipkart gears up
to drive the next phase of e-commerce growth in India.

“This is a landmark deal for Flipkart and for India as it endorses our tech prowess, our
innovative mindset and the potential we have to disrupt traditional markets. It is a resounding
acknowledgement that the homegrown tech ecosystem is indeed thriving and succeeding in
solving genuine problems in people’s daily lives across all of India," said Sachin Bansal and
Binny Bansal, Founders of Flipkart.

"We are delighted that Tencent, eBay and Microsoft -- all innovation powerhouses -- have
chosen to partner with us on their India journey. We have chosen these partners based on their
long histories of pioneering industries, and the unique expertise and insights each of them bring
to Flipkart. This deal reaffirms our resolve to hasten the transformation of commerce in India
through technology.”

Tencent joins as a strategic investor, bringing experience in linking social networking and
e-commerce. As a leading provider of internet value-added services in China, Tencent has been
at the center of innovation in social, payments and other areas. In leading this funding round,
Tencent will lend significant expertise to Flipkart as it furthers its leadership position across the
e-commerce market in India.

“Flipkart is a leader in e-commerce in India, with strong operational expertise and a deep
understanding of user behaviour. This strategic partnership enables Tencent to participate in the
exciting opportunities in e-commerce and payments in India. We look forward to helping Flipkart
to deliver compelling experiences to users throughout India, and to contribute to the
development of the internet ecosystem there,” said Martin Lau, Tencent President.

The investment by eBay is accompanied by a strategic commercial agreement with Flipkart. In
exchange for an equity stake in Flipkart, eBay is making a cash investment in and selling its
eBay.in business to Flipkart. eBay.in will continue to operate as an independent entity as a part
of Flipkart. Flipkart and eBay have also signed an exclusive cross-border trade agreement. As a
result of the partnership between Flipkart and eBay, customers of Flipkart will gain access to the
wide array of global inventory on eBay, while eBay’s customers will have access to more unique
Indian inventory provided by Flipkart sellers. Thus, sellers on Flipkart will now have an
opportunity to expand their sales globally.

“The combination of eBay’s position as a leading global e-commerce company and Flipkart’s
market stature will allow us to accelerate and maximize the opportunity for both companies in
India,” said Devin Wenig, President and CEO of eBay Inc.

“eBay is committed to winning in India in partnership with Flipkart. Our exclusive global trade
partnership will allow eBay and Flipkart to reach even more consumers around the world.”
The Flipkart Group includes well-known Indian brands such as Myntra, Jabong, PhonePe and
Ekart -- leaders of the online fashion and lifestyle, digital payments, and supply chain & logistics
segments -- besides the parent company. Launched in 2007, Flipkart has driven the behavioral
shift in Indian consumers, and the wide acceptance the e-commerce industry enjoys. Flipkart
has amassed unparalleled scale in India through customer-centric innovations that have made
online shopping a seamless, accessible and affordable experience for over 100 million Indians.


About the investors:

Tencent
Tencent (HKG: 0700) uses technology to enrich the lives of internet users. Every day, hundreds
of millions of people communicate, share experiences, consume information and seek
entertainment through our integrated platforms. Tencent’s diversified services include QQ,
Weixin/ WeChat for communications; Qzone for social networking; QQ Game Platform for online
games; QQ.com and Tencent News for information and Tencent Video for video content.
Tencent was founded in Shenzhen in 1998 and went public on the Main Board of the Hong
Kong Stock Exchange in 2004. The Company is one of the constituent stocks of the Hang Seng
Index. Tencent seeks to evolve with the internet by investing in innovation, providing a
hospitable environment for partners and staying close to users.

eBay
eBay Inc. (NASDAQ: EBAY) is a global commerce leader including the Marketplace, StubHub
and Classifieds platforms. Collectively, eBay connects millions of buyers and sellers around the
world, empowering people and creating opportunity through Connected Commerce. Founded in
1995 in San Jose, Calif., eBay is one of the world's largest and most vibrant marketplaces for
discovering great value and unique selection. In 2016, eBay enabled $84 billion of gross
merchandise volume. For more information about the company and its global portfolio of online
brands, visit www.ebay.com.

Microsoft
Microsoft (NASDAQ: MSFT) is the leading platform and productivity company for the
mobile-first, cloud-first world, and its mission is to empower every person and every organization
on the planet to achieve more.

About Flipkart Group
The Flipkart Group is India’s largest e-commerce marketplace and includes group companies
Flipkart, Myntra, Jabong and PhonePe.

Launched in October 2007, Flipkart offers over 80 million products across 80+ categories and is
known for pioneering services such as Cash on Delivery, No Cost EMI and easy returns --
innovations that made online shopping more accessible and affordable for millions of
customers. Together with Myntra and Jabong, which hold dominant positions in the online
fashion market, and PhonePe, India’s first UPI based payment app with offerings in nine
languages, the Flipkart Group has led the transformation of commerce in India.

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