Flipkart’s implied valuation has climbed to approximately $38.2 billion after the Walmart-owned e-commerce company completed the second tranche of its employee stock ownership plan (ESOP) liquidity programme marking a 6% jump from the $36 billion at which it last raised private capital in May 2024. The two-part buyback programme, worth roughly $50 million in total or around ₹475 crore, was announced in 2025. The first tranche of approximately $25 million was executed in July 2025. The second tranche was explicitly tied to Flipkart achieving specific business performance milestones over the following year, and on July 6, 2026, Group CEO Kalyan Krishnamurthy confirmed in an internal communication to employees that those targets had been met and the board had approved the second liquidity event.
Under the Flipkart Stock Option Plan 2026, all active employees on the company’s payroll as of July 15, 2026 are eligible to participate. They can sell up to 5% of their outstanding options that vested between July 16, 2023, and July 15, 2026. The buyback price has been fixed at ₹713.4 per option, with payouts scheduled for August 2026. Comparing the two tranches requires an important adjustment: between the first and second buybacks, Flipkart completed its redomiciliation from Singapore to India. Employee stock options were converted into shares of the new India-based entity, changing the valuation structure. After adjusting for this change, the effective buyback price from July 2025 was around ₹672 per option meaning the latest price of ₹713.4 represents a 6% increase, consistent with the rise in implied valuation.
“Walmart-owned Flipkart has announced its second ESOP liquidity event over the past year, allowing eligible employees to sell up to 5% of their outstanding options vested over the past three years. The liquidity price has been fixed at ₹713.4 per option, with payouts scheduled for August 2026.”~Inc42
Krishnamurthy’s Internal Email: “Our Best Work Is Still to Come”
In an internal email to staff, Krishnamurthy linked the repurchase to the company’s overall strategic shift. He mentioned that last year, the company promised two liquidity events, the second of which was conditional on meeting targets, and he was glad to confirm that both requirements had been met.He also used the communication to frame the company’s next chapter as it enters a new phase following its shift to an India-based holding structure. “As we begin this next chapter as an India-domiciled company, our ambition remains unchanged: to build one of the world’s most admired technology and commerce companies from India. The opportunity ahead of us is immense, and I firmly believe our best work is still to come,” he wrote. The redomiciliation, which involved moving Flipkart’s holding company from Singapore to India, is widely interpreted as a preparatory step toward an eventual public listing on Indian stock exchanges though the company has reportedly paused active discussions on both a fresh private fundraise and an IPO timeline for now.
The buyback also takes Flipkart’s total ESOP liquidity generated for employees since 2017 past the $1.5 billion mark. Its largest single event remains the 2023 programme, which alone distributed approximately $700 million. Previous major events include a $100 million buyback shortly after Walmart’s 2018 acquisition and further significant exercises in 2021. The 2026 programme is considerably smaller in size but carries strong symbolic weight as a performance-linked reward and as a signal that the company’s internal metrics are tracking in the right direction.
“Flipkart rolls out second ESOP liquidity programme. The liquidity price is set at ₹713.4 per option. The most recent buyback coincides with Flipkart’s transition to an India-domiciled business, which is generally believed to be laying the groundwork for an IPO in India.”~Startup Talky
IPO Paused, But Flipkart Is Expanding Fast Across Quick Commerce and New Verticals:
Apart from the positive valuation signal, Flipkart has reportedly put its IPO plans on hold for now. Reports suggest the company has stepped back from active conversations with bankers about a public listing and has also paused fresh private fundraising discussions. But this has not slowed operational momentum. Flipkart Minutes, its quick commerce arm, is scaling aggressively across Indian cities and is being positioned as a direct competitor to Blinkit and Swiggy Instamart. Apart from rapid commerce, the company is considering expanding into food delivery, ticketing, and live events, which would significantly increase its product line beyond its primary e-commerce marketplace. Walmart now owns around 85% of Flipkart, a stake it accumulated gradually after acquiring a majority stake in 2018 for $16 billion in one of the largest e-commerce acquisitions in history.
The $38.2 billion indicated valuation is not an official business figure; individuals acquainted with the topic have stated that a more precise and market-tested valuation would only be revealed during Flipkart’s next formal funding round or eventual public listing. However, as an internal signal, the buyback price and the valuation it suggests are crucial data points at a time when several other Indian firms have either cancelled or considerably reduced their own stock fundraising and listing plans.
“Flipkart’s valuation climbs to $38.2 billion after second ESOP buyback tranche. The implied valuation marks a 6% rise over the $36 billion at which Flipkart last raised private capital in May 2024. Buyback price fixed at ₹713.4 per option.”~ET Now
Over $1.5 Billion Paid Out to Employees Since 2017 and the Story Is Far From Over:
Flipkart’s consistent history of ESOP buybacks has made it one of the most employee-friendly companies in India’s startup ecosystem from a wealth-creation standpoint. The total of over $1.5 billion returned to employees since 2017 is a figure few Indian startups can match, and it has played a significant role in attracting and retaining senior talent across the company’s technology, product, and business teams. The performance-linked structure of the 2025-2026 programme where the second tranche was conditional on meeting specific targets also represents a maturation in how Flipkart approaches employee compensation, linking liquidity directly to business outcomes rather than offering unconditional payouts.
For the Indian e-commerce and startup ecosystem, the $38.2 billion implied valuation is a relevant benchmark. It positions Flipkart well ahead of domestic competition and suggests the company has weathered the broader funding winter that hit Indian startups hard between 2022 and 2024. Whether that valuation can be sustained and whether Flipkart can eventually command a premium in public markets will depend on how quickly it reaches profitability, how its quick commerce bet plays out against deeply funded rivals, and when it finally decides to pull the trigger on an IPO.
“Flipkart’s valuation crosses $38 billion in latest ESOP buyback. The implied valuation of $38.2 billion reflects a 6% increase over the May 2024 private raise. Buyback covers employees with options vested between July 2023 and July 2026.”~Moneycontrol
