Binny Bansal, Co-founder of Flipkart, has lately sold additional stakes in the company to the investment firm, Tiger Global Management. The stakes that Bansal has presently sold are worth approximately $14 million.
It is the second time when Bansal has sold off his stakes in the present year. Earlier in June, he sold his shares worth $76 million, which is believed to be a part of stake sale concord at the time of exiting Flipkart in November 2018, the daily news, The Economic Times reported.
Binny Bansals exit from Flipkart
After Walmarts acquisition in 2018, a tussle happened in the company for control as Walmart owned a 77 per cent stake and then-Chief Operating Officer of Flipkart, Sachin Bansal wanted to hold special rights of the founder. As Bansal was unable to get the desired control over the firm, he exited the company and sold his shares.
Following this, Binny Bansal trailed steps of his friend-cum-business partner, Sachin Bansal and also left Flipkart in November 2018. The primary reason for his exit was personal misconduct allegation that was made against him. However, no evidence was found by the independent probe to prove the allegation. At the end of the probe, he resigned from his C-level role but, unlike Sachin Bansal, decided to hold his 5 per cent stake and remain a part of the companys board. Since then, the techpreneur is infusing money in startups and commissioned the title of Angel Investor and Chairman in various firms.
According to cited media reports, Bansal still holds more than 3 per cent shares in Flipkart after selling $14 million stakes.
Bansal Supports Startup Companies
In February, Bansal told that he decides to focus on upholding entrepreneurs, through investments and the recently launched software and consulting venture xto10x Technologies, the above-mentioned daily news reported.
At present, Bansal is Chairman at xto 10x Technologies. The company was initiated by Saikiran Krishnamurthy, former McKinsey consultant, and Flipkart Executive. Apart from xto 10x, Bansal supports an early-stage venture capital company, 021 Capital as well. The venture capital company was established by Bansals wealth manager, Sailesh Tulshan. Further, he is working as an angel investor and pumping in money in numerous startup companies such as Niramai and Acko.
Flipkart, which is operated by Flipkart Internet Private Limited, was established by Binny Bansal and Sachin Bansal in October 2007. Both the co-founders graduated from IIT Delhi ( Indian Institute of Technology Delhi) and had together worked at Amazon.
Earlier on, the firm focused on selling books across India through its online platform. After witnessing its initial success, the company became popular in the consumer market and soon, it started receiving 100 orders per day. After gaining prominence, Flipkart began making several acquisitions including weRead, Lulu.com, Mime360.com and Myntra.