Walmart, Flipkart invest $145 million in Agritech firm Ninjatech

walmart flipkart invest 145 million in agritech firm ninjatech

Walmart Inc. and its Indian subsidiary Flipkart are investing $145 million in agritech platform Ninjacart to solidify their grocery supply chains amidst mounting competition from Amazon India, JioMart, and Tata-owned BigBasket, among other competitors.

In October 2020, Walmart and Flipkart Group had invested an undisclosed amount of investment into the Bengaluru-based startup.

Ninjacart has invested significantly in technology platforms and supply chain infrastructure over the past two years. The company was founded by Thirukumaran Nagarajan, AshutoshVikram, Kartheeswaran K K, Sharath Loganathan, and Vasudevan Chinnathambi in 2015. It has raised funds from investors like Accel, Tiger Global, Tanglin, Syngenta, Steadview, Qualcomm, and Nandan Nilekani.

According to the statement provided by Flipkart, the investment will help Ninjacart build infrastructure and technology to organize, empower, and enhance the lives of millions of agri-value chain participants, including farmers, resellers, retailers, consumers, and supply chain participants.

The investment round is expected to take the valuation of Ninjacart—which deals in the supply of fresh produce—to the north of $700 million. The third investment by Walmart and Flipkart into Ninjacart comes when competition in the online grocery market has surged, predominantly in the quick commercial space.

Flipkart offers groceries in 1,800 towns and cities; the e-commerce giant aims to take its offering to 2,000 more cities by mid-2022. Vegetables and fresh fruits will be an integral part of the expansion. The firm has invested in technology capabilities to ensure the end consumer's top and most stringent quality checks.