Flipkart invests US$54 million into Myntra
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Myntra has secured a US$54 million investment from parent company Flipkart amid its tough competition with Reliance’s Ajio and Tata Cliq.
This is Flipkart’s second investment in Myntra following $105 million in March last year.
The new investment came as Walmart, Flipkart’s largest shareholder, committed $600 million to the India-headquartered parent company as part of a $1 billion funding round.
Last July, Myntra commenced a restructuring program that included prioritising private labels over a wide range of in-house brands.
Myntra currently has more than 420 global brands on its platform, up from 280 two years ago.
Questions & Answers
Q.Why has Flipkart decided to invest in Myntra again?
Why has Flipkart decided to invest in Myntra again?
Flipkart invested in Myntra amid tough competition from rivals Reliance's Ajio and Tata Cliq. This new funding is intended to help Myntra strengthen its position in the e-tailing market.
Q.How much has Flipkart invested in Myntra in total recently?
How much has Flipkart invested in Myntra in total recently?
Including this new US$54 million, Flipkart has invested US$159 million into Myntra over two recent rounds. The previous investment was US$105 million, made in March last year.
Q.How has Myntra's strategy changed recently?
How has Myntra's strategy changed recently?
Last July, Myntra began a restructuring program that now prioritises private labels. It is moving away from offering a wide range of in-house brands, focusing instead on its own distinct offerings.
Q.Has Myntra increased its number of global brands?
Has Myntra increased its number of global brands?
Yes, Myntra has significantly increased its number of global brands on the platform. It now features over 420 global brands, an increase from 280 two years ago.
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