Amazon just made a formal offer to buy 60% of its chief competitor in India

• Amazon wants to buy a 60% stake in India’s Flipkart.
  
• Amazon’s bid may complicate matters for Walmart, which has also been trying to buy a stake in Flipkart.
  
• Flipkart had refused another offer from Amazon two years ago.

Amazon has reportedly made a formal offer to to buy a 60% stake in Indian e-commerce firm Flipkart. The offer could complicate matters for Walmart, which has also been trying to buy a majority stake in the company. Flipkart is Amazon's primary competitor in the country.

Earlier, sources told Reuters that Walmart may be able to strike the deal soon and was en route to spending $10-12 billion by the end of June for that. According to CNBC-TV18's report, Amazon has offered a breakup fee worth $2 billion to Flipkart.

If successful, the deal would be the biggest Amazon has made in India so far. However, reports say that Flipkart had refused another offer made by Amazon two years ago. The company was trying to buy 51-55% of Flipkart at the time.

While it is unclear how much Amazon's current bid is worth, it is expected to be on par with what Walmart is paying.

Walmart had entered India back in 2007, through a joint venture with Bharti Enterprises. That's before Amazon made its entry into this market, Walmart's deal with Bharti was called off in 2013 when Amazon was well established in India. However, Walmart still owns 21 wholesale cash-and-carry supermarkets in India right now.

Amazon, on the other hand, has been making waves in the country's e-commerce space, earning a significant market share.