Flipkart investor Tiger Global cuts stake in Amazon; dissolves entire stake in Alibaba
Flipkart investor Tiger Global cuts stake in Amazon; dissolves entire stake in Alibaba
Tiger Global Management, the largest investor in Indian e-commerce giant Flipkart, has reduced its stake in US rival Amazon by about two-third in the January-March 2016 quarter.
The hedge fund has cut its exposure to 1.04 million shares worth over $618 million as of March 31, 2016, from 3.19 million shares worth $2.16 billion in the December quarter, according to a filing at the US SEC.
The fund also entirely dissolved its stake in Alibaba Group Holding. Besides, it has brought down its stake in Chinese e-tailer JD.com (by about 25%) and Apple (over 46%).
Tiger Global has taken stake in Zillow Group, which provides real estate and mortgage information, valued at about $23.6 million at the end of the quarter.
Over the past few months, Flipkart has also faced a series of markdowns from its investors. A T Rowe Price-managed mutual fund had marked it down by 15% in April while Morgan Stanley-backed mutual fund had done so by 27% in February, according to reports.
Amazon India, Flipkart and Snapdeal are currently locked in a battle for market leadership in the burgeoning Indian e-commerce sector.
The three firms have been aggressively spending billions of dollars on marketing, strengthening their supply chains and acquiring customers with predatory discounts.
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