Flipkart has announced a new funding round totaling $1 billion. The round, which was reportedly raised at a valuation between $5 billion and $7 billion, was led by Tiger Global Management and Naspers, and received participation from a host of investors including Accel Partners, ICONIQ Capital and GIC (Singapore's sovereign wealth fund), among others. The e-commerce company has now raised over $1.75 billion in equity, with all but around $180 million of that total raised in the last 10 months. In May, the company brought in $210 million in equity through a fundraise led by DST Global. The company has stated the new funds will be used to make long-term strategic investments in India, prioritizing mobile technologies. Flipkart is also now the second company to raise a VC financing of at least $1 billion this year, following Uber, which raised $1.2 billion in early June.
Flipkart has seen increased competition throughout India, as Amazon has announced plans to open five new fulfillment centers in the country, and India-based competitor Snapdeal, which is backed by numerous firms including BlackRock, Temasek Holdings and eBay, has raised two $100 million+ rounds this year. With around 22 million registered users making over 4 million daily visits, Flipkart makes 5 million shipments per month. It has been estimated that the e-commerce market in India is currently worth $3 billion and could possibly grow to approximately $22 billion by 2018.