IT major TCS is India's highest valued firm with market capitalisation of nearly $83 billion, or Rs. 5 lakh crore.
Co-founder Binny Bansal said that the company is not contemplating an initial public offer (IPO). "With this fund raising, our IPO plans have been put on the back burner," he told NDTV.
Besides looking at fresh acquisitions, Flipkart could use the fresh funding for expanding its operations. Also in May this year, Flipkart acquired the country's biggest fashion portal Myntra for around $300 million (Rs. 1,800 crore). "Acquisition will be an important part of our growth strategy," Binny Bansal told NDTV.
For Flipkart, the competition is also hotting up. Besides Amazon's expanding presence in India, world's largest retailer Wal-Mart too has begun online sales in the cash-and-carry segment in some cities. Reliance Retail, India's largest retailer by revenues, is also expected to significantly increase its online presence.
The Indian e-commerce market was worth $13 billion (Rs. 78,000 crore) in 2013, with online travel accounting for over 70 per cent of consumer e-commerce transactions. Online sales of retail goods totaled $1.6 billion (Rs. 9,600 crore) in 2013, according to research firm Forrester, and are expected to reach $76 billion (Rs. 4.5 lakh crore) by 2021, Technopak said.