Amazon Invests $300 Million In India Unit
Amazon.com Inc invested about $300 million (Rs 2,200 crore) in its Indian marketplace, taking its total infusion in the business to $4.7 billion as it faces a fresh challenge from Walmart-backed Flipkart.
The latest investment into Amazon Sellers Services Pvt. Ltd. came from Singapore-based Amazon Corporate Holdings and Mauritius-based Amazon.com.inc, filings made with the Registrar of Companies show.
Amazon is expected to reach $11.2 billion in gross merchandise in the year ending March, according to Barclays, making the country its most important market outside the U.S. Billionaire Jeff Bezos continues to plough investments in India as Amazon now faces Walmart Inc, which acquired a 77 percent stake in Flipkart for $16 billion, and Alibaba-backed Paytm Mall and billionaire Mukesh Ambani’s Reliance Retail Ltd.
Amazon’s fourth investment into the Indian unit brings it just $300 million shy of the $5 billion committed by Bezos for the Indian business. It infused $1.3 billion (about Rs 9,450 crore) this year, making it the largest investment in a single year into the arm that runs Amazon.in. It has invested $ 4.1 billion in the marketplace alone so far.
The Seattle-based company’s revenue grew 57 percent to Rs 4,928 crore in 2017-18. Losses, however, widened Rs 6,287 crore from a year earlier.