India’s largest online retailer Flipkart has raised a total of $1.4 billion from China’s Tencent, U.S.-based e-commerce firm eBay and software maker Microsoft. The funding is expected to help Flipkart build its war chest in the battle against Amazon.com Inc., which is rapidly gaining share in India’s online retail market.
The Bengaluru-based firm will also buy eBay’s India business as part of the transaction. Flipkart said the new funding round valued the company at $11.6 billion. This is about 28% lower than the $15.2 billion valuation based on the $700 million of funding it raised in 2015.