SoftBank, the Japanese technology investment firm, has injected $2.5 billion in Flipkart, an Indian startup.
This deal marks the largest private investment in India's consumer technology space.
The transaction also provides a partial exit to Tiger Global, a New York-based investment firm, which used to be the largest investor in Flipkart. After the completion, Tiger Global will own an approximately 18% stake in Flipkart while South African media company Naspers and the Chinese Internet conglomerate Tencent will together hold a 20% stake in the company.
SoftBank will at least achieve one board seat on Flipkart.
SoftBank's total investment in India is now over $6 billion.
Flipkart is India's largest e-commerce company headquartered in Bangalore, Karnataka. The company was found in October 2007 by Sachin Bansal and Binny Bansal.