Flipkart’s ex-execs seek fair treatment from Walmart

A group of former senior Flipkart executives, such as former CEOs Mukesh Bansal and Sanjay Baweja, as well as ex-chief business officer Ankit Nagori, have requested Walmart to buy out their vested stock options. This request comes after Flipkart's India listing plans have been postponed once again, denying the ex-executives a significant payday opportunity. This comes as Flipkart recently completed a partial buyback of stock options from current employees four months ago.

In their letter to Walmart, addressed to all 11 members of the parent company's board, including chairman Gregory B Penner and Flipkart CEO Kalyan Krishnamurthy, the former executives seek "fair treatment" for the vested stock options given out 10-15 years ago. They stated, "We contributed our time, effort, expertise, and commitment to building the business and creating the value that exists today.

We accepted these options as an important and integral part of our compensation and have continued to hold them for more than a decade."

The Bengaluru-based company has seen recent departures of senior leadership, including Myntra CEO Nandita Sinha, who left after over a decade with the online retailer following a management reshuffle and now leads Swiggy Instamart's quick commerce push. Walmart said they would examine the matters raised in the letter and reiterated that an IPO remains an active part of their strategic roadmap.

Transitioning to public markets brings significant opportunities but also real operational responsibility, and they plan to move forward when the timing is right.

The letter reflects the tension between local former executives and the US parent's management over strategy and key milestones. Former C-suite executives, senior vice presidents (SVPs), and other senior employees worked together during Flipkart's formative years from 2007-2008 to 2016, during which the e-commerce company grew in size and valuations, expanding product categories and key acquisitions.

The aggrieved ex-executives argue that Walmart should provide a liquidity opportunity to all eligible former employees holding vested options, considering that they have had limited opportunities to realize their value.