In a fresh round of funding led by Invesco, online food delivery tech platform Swiggy has raised $700 million. The funding saw participation from several new investors such as Baron Capital Group, Sumeru Venture, IIFL AMC Late Stage Tech Fund, Kotak, Axis Growth Avenues AIF- I, Sixteenth Street Capital, Ghisallo, Smile Group and Segantii Capital. Existing investors Alpha Wave Global (formerly Falcon Edge Capital), Qatar Investment Authority, and ARK Impact, along with Swiggy’s long-term investor Prosus, also participated in this funding round.
As per the company, the fresh funds will help Swiggy to further accelerate growth on the core platform while expanding its grocery delivery unit Instamart. The company expects Instamart to reach an annualised gross merchandise value (GMV) run rate of $1 billion in the next three quarters while leading the quick grocery delivery segment in India.
“The GMV our food delivery business achieved in 40 months, took Instamart just 17 months, demonstrating the platform benefits of Swiggy. We will double down on this to build more categories in line with our mission of offering unparalleled convenience to Indian consumers,” said Sriharsha Majety, CEO, Swiggy.
The funds will also be utilised to build and strengthen a broader ecosystem of the company.
Majety said that Swiggy aims to achieve a level where at least 100 million consumers can use the platform 15 times a month. He further emphasised that the platform will continue to invest in its people products, and partners to create a positive impact on the ecosystem and accelerate the digital transformation in food, grocery and other on-demand services.
Owing to an aggressive expansion drive, Swiggy Instamart is currently available in 19 cities across the country, whereas its pick up and drop service – Swiggy Genie is currently present in 68 cities. Swiggy’s meat delivery service and daily grocery service, Supr Daily operates in all major Indian cities.
This latest funding comes six months after the Bengaluru-based start-up had raised $1.25 billion at a valuation of $5.5 billion from SoftBank’s Vision Fund 2 and Prosus.
Founded in 2014, Swiggy today has over 1,85,000 restaurant partners and stores in over 500 cities.
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Source: News18