Walmart expects timely approval from authorities for its US $16 billion deal to acquire Flipkart, a top company official said.
According to a PTI report: The company is awaiting approval from fair trade regulator CCI, where its mega deal to acquire 77 percent stake in leading e-commerce player Flipkart is pending.
“This should happen in reasonable time… we are expecting timely approvals,” Krish Iyer, President and CEO, Walmart India was quoted by PTI as saying.
He further told PTI: “Basic approval is from the Competition Commission of India (CCI) and its already in progress.”
When asked how soon the company expects to complete the transaction, Iyer told PTI,”We have not put any timeline for that. It is basically based on the law.”
The company has already engaged counsel to pitch its case before the fair trade regulator.
In May this year, Walmart had announced a mega deal to pick up 77 percent stake in Flipkart to strengthen presence India and take on Amazon.
Iyer said after the completion of the transaction, both Walmart and Flipkart would continue to run as independent companies.
“Flipkart is an independent business and we have invested in it. It would continue to run as a separate business by the existing team. Cash and Carry would be a separate business, which is 100 per cent owned by Walmart and it would continue to run by the existing team,” he told PTI, adding, “I don’t see changes in our strategy in terms of fulfilment centre or B2B e-commerce or the store strategy that we have.”