Walmart-owned ecommerce main Flipkart, which competes with Amazon India, has reportedly acquired approval from the Nationwide Firm Legislation Tribunal (NCLT) to shift its domicile from Singapore to India, clearing a key regulatory hurdle as the corporate prepares for a home preliminary public providing (IPO).

In keeping with an ET report, the order, which was handed by the NCLT’s principal bench on December 12, approves a two-step restructuring that may merge Flipkart’s Singapore-based holding entities into its Indian arm, Flipkart Web Pvt Ltd. As soon as accomplished, the Bengaluru-headquartered entity will turn into the first working and holding firm for the group’s companies in India.

The re-domiciling is a part of Flipkart’s preparations to file draft IPO papers in 2026. The corporate can also be searching for approval from the central authorities beneath Press Observe 3 norms, as Chinese language expertise main Tencent continues to carry round a 5–6% stake in Flipkart.

Launched in 2020, Press Observe 3 requires prior authorities clearance for investments from international locations sharing a land border with India. Sources mentioned the approval is just not anticipated to be a serious hurdle, as Tencent’s funding is a legacy holding and Flipkart stays majority owned by US-based Walmart.

Walmart acquired a 77% stake in Flipkart in 2018 for $16 billion. Different shareholders embrace Microsoft, Canada Pension Plan Funding Board and SoftBank. In Could 2024, Flipkart closed a $1 billion funding spherical that included a $350 million funding from Alphabet’s Google, valuing the corporate at round $35-36 billion.

Below the accepted scheme, a number of Singapore-incorporated entities will probably be subsumed beneath Flipkart Web. These embrace holding firms for style etailer Myntra, logistics arm Ekart, on-line journey platform Cleartrip, fintech platform Tremendous Cash and Flipkart Well being. The entity that holds Flipkart’s exterior investments, together with stakes in Shadowfax and Wildcraft, may even be merged into the Indian dad or mum.

Till now, these companies rolled up into the Singapore-based holding firm, which housed the group’s investor cap desk. Put up-restructuring, present buyers will instantly maintain shares in Flipkart Web.

Flipkart informed the tribunal that the consolidation would simplify its holding construction, cut back a number of layers of shareholding and enhance operational effectivity by eliminating duplicative company processes throughout jurisdictions. The corporate mentioned the transfer would additionally allow sooner decision-making and generate enterprise synergies, whereas bringing possession and operations firmly beneath Indian jurisdiction.

Flipkart’s board had accepted the re-domiciling course of in April. The corporate initially shifted its company dad or mum to Singapore in 2011, a route many Indian startups took on the time to entry international capital beneath easier abroad laws. Lately, a number of massive new-age firms, together with PhonePe, Groww, Razorpay, Meesho, Dream11, Zepto and Pine Labs, have moved their domiciles again to India.

Operationally, Flipkart group entities have reported blended developments. In FY25, Flipkart Web posted income of Rs 20,493 crore, up 14% year-on-year, whereas web losses narrowed 37% to Rs 1,494 crore. Losses at Ekart and Cleartrip additionally narrowed, whereas Myntra’s earnings jumped almost 18-fold in the course of the 12 months.

Individually, Flipkart India reported income from operations of Rs 82,787 crore in FY25, up 17%, whilst web losses widened 24% to Rs 5,189 crore amid larger bills.