E-commerce firm Flipkart faced another valuation markdown by one of its mutual fund investors managed by Morgan Stanley.
According to a report in The Economic Times, the value of Flipkart shares have been slashed by 38.2 percent pegging its valuation at USD 5.54 billion. This markdown is considered to be one of the most significant one. It also happens at a time when the company is aggressively looking to raise its next round of funding.
In the past, Global asset manager T Rowe Price Group slashed the value of its stake in Flipkart by a fifth. US-based investment firm Vanguard Group also marked down the value of its shares in Flipkart by 22 percent in March, among other markdowns.
The company has however, always played down markdowns by investors by saying that the funds have their own way of calculating valuations and that it is a global phenomenon and not specific to Flipkart.
Last week, Flipkart also reported a loss of Rs 2,306 crore during the year ending March 31. It reported a loss of Rs 1096 crore during the previous financial year.