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Walmart infuses Rs 623 crore to expand its India business

Tuesday, 22 July 2014 - 11:49am IST | Place: Mumbai | Agency: DNA Webdesk

Walmart is putting in more funds into its India cash and carry operations amounting to around Rs 623 crore. This will peg up its total investment in India to Rs 2000 crore, the Times of India reported. This shows the continuing commitment of the largest retailer in the world to get  a strong foothold in the country.

Walmart India whic raised more than Rs 1300 crore from the United States based parent company, will use this fund to expand its business in India, the report said.

Walmart had called off its joint venture with Bharti Airtel last year in October which was running 20 stores udner the Best Price Modern Wholesale brand. 

"Wal-Mart can now focus on getting its act clean in India and start afresh," Saloni Nangia, president for retail at Technopak Consultants, had told Reuters at that time. Walmart coughed up Rs 2000 crore to buy Bharti Airtel's stake in the venture which included a loss of Rs 912 crore.

Retail in India has been an expensive business and the venture accrued a loss of Rs 227 crore in 2011. With their paths separating, they could now both grow at their own pace. Walmart's infusion of money into its India business shows a renewal of pace in its own growth strategy.




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