T. Rowe Price marks down Flipkart valuation
Mutual fund T. Rowe Price has marked down its valuation of Indian e-commerce giant Flipkart, along with a number of its other technology portfolio companies.
In the most recent quarterly portfolio holdings report for its Global Technology Fund, T. Rowe Price indicated a value of $120.70 per share for its Flipkart stake as of March 2016, a 15% decrease from the $142.24 price in December 2015. The move comes only months after Morgan Stanley cut its per-share value for Flipkart from $142.24 as of June 2015 to $103.97 as of December 2015, a decrease of 27%.
The methods by which T. Rowe Price and other mutual funds calculate these valuations are not known, but are believed to rely on a mix of the companies' financial information, market values of listed firms in the same industry, and the previous share price. Speaking to The Wall Street Journal, a spokesman for the company called the first quarter "an extremely volatile period for global equity markets."
Other well-known tech companies marked down by T. Rowe Price include Uber, which it cut by 6%, and Dropbox, which it cut by 16%. In all the firm marked down 12 of its 17 investee companies valued at over $1 billion; it marked up four others.
T. Rowe Price invested in Flipkart in 2014, taking part in a $700 million round alongside a group of investors including Greenoaks Capital, Steadview Capital, DST Global and Tiger Global Management. At the time the company was reported to be valued at $11 billion.
More on South Asia
Latest News
Asian GPs slow implementation of ESG policies - survey
Asia-based private equity firms are assigning more dedicated resources to environment, social, and governance (ESG) programmes, but policy changes have slowed in the past 12 months, in part due to concerns raised internally and by LPs, according to a...
Singapore fintech start-up LXA gets $10m seed round
New Enterprise Associates (NEA) has led a USD 10m seed round for Singapore’s LXA, a financial technology start-up launched by a former Asia senior executive at The Blackstone Group.
India's InCred announces $60m round, claims unicorn status
Indian non-bank lender InCred Financial Services said it has received INR 5bn (USD 60m) at a valuation of at least USD 1bn from unnamed investors including “a global private equity fund.”
Insight leads $50m round for Australia's Roller
Insight Partners has led a USD 50m round for Australia’s Roller, a venue management software provider specializing in family fun parks.