E-commerce major Flipkart Group has acquired 100% stake in Walmart India Pvt Ltd, which operates the Best Price cash-and-carry business, and has launched Flipkart Wholesale, a new digital marketplace.
Flipkart Wholesale will launch its operations in August and will pilot services for the grocery and fashion segment. The new business vertical will be headed by Adarsh Menon, Flipkart veteran. Sameer Aggarwal, Walmart India CEO, will remain with the company to ensure a smooth transition, after which time he will move to another role within Walmart.
This reverse acquisition of the business-to-business segment of Walmart in India will help Flipkart to expand its footprint in the food and grocery segment and strengthen its supply chain. Walmart India operates 28 Best Price stores and has two fulfilment centres.
Bengaluru-based Flipkart said this will enable the transformation of the kirana retail ecosystem in the country by leveraging locally developed technology and help growth for kiranas and MSMEs.
Flipkart’s new B2B or wholesale online business can cater to the largely unorganised kirana segment and smaller shops can order goods directly through this platform.