US retail major Walmart is committed to the Indian market and the company has taken a long-term view of the opportunities and hence is unfazed with any short-term hurdles, said Kalyan Krishnamurthy, CEO, Flipkart.

Krishnamurthy in an internal communication to Flipkart employees, said, "We will continue to collaborate closely and drive impact for our customers, sellers, partners, and the broader economy."

The US retail giant had bought 77 percent stake in Flipkart for $16 billion last May.

The CEO's statement came after a recent report by Morgan Stanley, which had said that Walmart may exit Flipkart as the new foreign direct investment (FDI) policy may lower its profitability in the long run.

Here's the full text of Kalyan Krishnamurthy:

Earlier today, you may have seen some media coverage that cite a recent Morgan Stanley report speculating on Walmart-Flipkart partnership. The report is based on certain assumptions gathered from public sources, such as how Flipkart does business, what drives its growth, the regulatory environment in India, and it tries to extrapolate all that information to draw a comparison with events that occurred elsewhere in the world to another company.

In reality, the report couldn’t be further than the truth. Walmart remains extremely confident in the potential of the Indian market and in Flipkart’s ability to lead the e-commerce space. By partnering with Flipkart, Walmart has taken a long-term view of the opportunities and hence is unfazed with any short-term hurdles.

We will continue to collaborate closely and drive impact for our customers, sellers, partners, and the broader economy.

I hope this puts to rest any concerns you may have had following the media coverage. If you have any further questions, please reach out to Rajneesh or me.

First Published:Feb 6, 2019 12:01 PM IST