Flipkart, the Walmart-backed ecommerce leader, has cleared a critical milestone in its plan to “reverse flip” its headquarters from Singapore back to India. A Singapore court has granted in-principle approval for redomiciling, and India’s National Company Law Appellate Tribunal (NCLAT) has held multiple hearings to advance the legal process. Completion is expected within the next couple of months, positioning Flipkart for a blockbuster IPO in India as early as 2026.
Why Is Flipkart Moving Its Domicile Back to India?
It’s redomiciling—or “reverse flipping”—has been in planning for months, driven by its IPO ambitions and regulatory advantages. The board approved the shift in April 2025, echoing a broader “homecoming” trend for Indian unicorns. For Indian tech startups, an Indian domicile simplifies IPO approvals, aligns corporate and capital structures under Indian law, and eases access for domestic mutual fund and institutional investors on the local exchanges.
Key tax and legal angles:
- Share Swap or Inbound Merger: Two standard routes for reverse flipping involve share swaps or inbound mergers, each with its own capital gains tax implications for shareholders, both resident and non-resident.
- Indirect Transfer Tax: Foreign shareholders may face Indian tax on capital gains from the transfer of foreign company shares now deemed taxable in India (notably, PhonePe’s similar shift triggered high tax outgo for shareholders).
- FEMA & Companies Act Compliance: The move involves careful navigation of FEMA (Foreign Exchange Management Act), Companies Act provisions, and potential double-taxation treaty considerations.
Funding, Financials, and IPO Roadmap
Recent financial performance:
- FY25: Revenue stood at ₹20,493 crore, up 14% YoY. Operating revenue rose 14.4%, fueled by marketplace services (₹7,751 crore) and advertising (₹6,317 crore).
- Losses narrowed sharply to ₹1,494 crore—a 37% reduction—driven by marketplace and ad segment growth, though logistics revenue declined.
- The company is also expanding into fintech, recently launching a $30 million push into lending and stock broking via its Supermoney platform.
Flipkart’s Singapore-based parent entity has continued to fuel the ecommerce giant’s growth plans with a series of substantial fund infusions in 2025. In May, Walmart led a fresh ₹2,225 crore ($262 million) capital injection into Flipkart Internet, following a ₹3,250 crore ($382 million) infusion in April. Over the past 14 months, it has secured no less than four internal funding rounds—bolstering its war chest for expansion in fashion, fintech, quick commerce, and AI-driven initiatives.
Ecommerce giant also doubled down on fintech via its Supermoney arm, investing $30 million in September 2025 (on top of a $20 million investment the previous year). These strategic capital infusions are paving the way for rapid growth while flattening losses and preparing ground for the giant’s anticipated India IPO.
The “Reverse Flip” Wave
Walmart backed startup isn’t alone in its “reverse flip”—the process of returning corporate headquarters and legal domiciles from overseas (like Singapore, the US, or Mauritius) back to India to unlock stronger regulatory, capital market, and listing benefits. This trend has gathered considerable speed over the last two years.
Recent and ongoing reverse flips include:
- Razorpay: Completed its shift to India in early 2025; paid an estimated ₹1,245 crore in taxes as part of the move.
- Meesho: Concluded reverse flip and filed for a domestic IPO with SEBI.
- Zepto: Finalized redomiciling from Singapore in January 2025, now IPO-bound.
- Groww: Moved domicile fully back to India by March 2024.
- Pine Labs, KreditBee, InMobi, Udaan, and Livspace: All are at various advanced stages of the reverse flipping process.
- PhonePe and Pepperfry: Already completed transitions in recent years.
This synchronized push is driven by domestic IPO demand, government policy reforms, a deepening Indian investor pool, and streamlined capital market regulations. Most companies are choosing inbound mergers or share swaps, mindful of capital gains tax implications for both resident and international shareholders, and evolving FEMA/RBI protocols
Recent Strategic Moves and Big Sale Highlights
- Flipkart completed significant board and leadership restructuring, streamlining subsidiaries and cutting costs at loss-making arms to sharpen its financial profile ahead of the IPO.
- Market-facing moves include capital restructuring at Flipkart Internet Private Limited, bracing for index inclusion and smoother stock market access.
- Ongoing 2025 “Big Billion Days” sales have reported new highs in gross merchandise value, particularly in electronics, home essentials, and fashion.
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