Flipkart plans India IPO next year, targets up to $70 billion valuation

The Walmart-owned company has initiated steps to relocate its holding company from Singapore to India, a move intended to smooth the path for a domestic listing

Flipkart, the Walmart-backed e-commerce giant, is aiming to go public in India as soon as next year, with an IPO valuation target of $60 billion to $70 billion, according to people familiar with the matter.

 

If realised, the offering would rank as the largest consumer tech IPO in India’s history.

 

The company, based and operating in India, has initiated steps to relocate its holding company from Singapore to India, a move intended to smooth the path for a domestic listing. 

 

Flipkart’s board has approved the redomiciling process, which is expected to be completed ahead of its IPO within the next 12 to 15 months, according to the sources.

 

The Bengaluru-based firm was last valued at approximately $36 billion. It has been bolstering its board and streamlining operations in recent months as it prepares for a public debut.

 

“Relocating the holding company to India is a precursor to Flipkart’s planned IPO next year. The company already has the majority of its assets and operations based in India, so this move primarily involves transferring the holding entity to align with that reality,” said an industry executive with knowledge about Flipkart’s IPO strategy.

 

“As part of this transition, all investors, including majority shareholder Walmart, are expected to shift to the Indian entity,” he said.

 

Speaking on the development, a Flipkart spokesperson on Monday night said the strategic decision reflects the company’s deep and unwavering commitment to India and its remarkable growth.

 

However, a query related to the company’s IPO plans remained unanswered till press time.

 

Reverse flipping

 

Experts said that Flipkart’s decision to relocate its holding company from Singapore to India will likely have a significant impact on its IPO plans. 

 

“Being domiciled in India enables the company to access the domestic capital markets directly, avoiding regulatory friction that foreign-held companies often face,” said Sonam Chandwani, managing partner at law firm KS Legal & Associates.

 

“This could improve market perception and potentially enhance its valuation, given that investors are more comfortable with transparent corporate structures and local regulatory oversight,” said Chandwani.

 

With Flipkart targeting a $60-$70 billion valuation, experts said proximity to Indian investors, regulators, and retail participants could help establish a stronger valuation floor.

 

Moreover, Chandwani of KS Legal & Associates said domestic listing may allow it to benefit from market regulator Sebi’s favourable stance toward Indian-grown tech firms and help project itself as a national success story.

 

Flipkart is in a fierce battle with rivals like Amazon, Reliance’s JioMart, and the Tata Group to tap the Indian e-commerce market, which is expected to reach $325 billion by 2030, growing at a robust compound annual growth rate (CAGR) of 21 per cent, according to a Federation of Indian Chambers of Commerce and Industry (Ficci)-Deloitte report. 

 

More than 20 startups are expected to launch IPOs in India in 2025. Prominent names include online jewellery platform Bluestone, quick-commerce firm Zepto, electronics company Boat, and electric vehicle maker Ather.

 

Several Indian startups domiciled abroad are shifting their base -- or reverse-flipping -- to India.

 

“The government has made progress in easing the ‘ghar wapsi’ process, though more needs to be done,” said a person familiar with Flipkart’s IPO plans. “Flipkart’s move highlights the strength of India’s financial ecosystem and signals growing confidence in local markets. It’s a boost for both the startup sector and the government.”

 

Legal experts said there are regulatory and tax benefits associated with the move. Shifting to India helps Flipkart mitigate risks related to indirect transfer tax, which was central in the Vodafone case. It also avoids potential exposure under General Anti-Avoidance Rules (GAAR), which apply when structures lack commercial substance.

 

Further, Flipkart can now directly comply with e-commerce norms, rather than relying on complex offshore structures that require layered approvals and monitoring. However, Chandwani of KS Legal & Associates also said this move is not without legal and operational risk as there could be significant capital gains tax exposure. 

Shifting domicile

 

> The company has initiated steps to relocate its holding company from Singapore to India

> Experts said proximity to Indian investors, regulators, and retail participants could help establish stronger valuation floor

> According to legal experts, the shift will help Flipkart mitigate risks related to indirect transfer tax