Walmart has set up an internal IPO team for the Bengaluru, India, online retailer and is leaning toward a traditional debut in the U.S., Bloomberg said, citing people familiar with the situation.
The startup’s valuation could top $35 billion as it goes public.
Saroj Panigrahi, a former JPMorgan Chase attorney Flipkart hired in December, is driving the IPO process. JPMorgan and Goldman Sachs are in discussions with the company about advising on the deal and are frontrunners to be formally selected.
The IPO discussions are still in flux and could change and Flipkart might ultimately opt for a location besides the U.S., the news service reported.
Walmart paid $16 billion in 2018 for a 77% stake in the company and now owns about 81.3%.
Last month, Bloomberg reported that Flipkart was exploring going public in the U.S. through a SPAC, or special-purpose-acquisition-company, merger in an effort to speed the listing process, but this option is reportedly not under consideration.
Flipkart includes the fashion retailer Myntra and Flipkart Wholesale, its digital marketplace targeted at small and medium businesses. It has over 300 million registered users, and over 150 million products in over 80 categories.
India has seen a rush of startups heading toward the public markets this year and next, Bloomberg said, with at least 10 offerings in the queue.
They include India’s online insurance aggregator, Policybazaar, and leading food delivery platform Zomato.
Walmart did not immediately respond to a request for comment, Shares of the Bentonville, Ark., retailing giant at last check were were up 0.7% to $140.35.