Swiggy raises $1bn, becomes fifth-most valuable Indian startup

Business

20 Dec 2018

Swiggy raises $1bn in its largest funding round yet

Months after entering India's unicorn club, food delivery platform Swiggy has raised a whopping $1bn in fresh capital from existing and new investors.

The funding, which is Swiggy's biggest till date, has taken the startup to a valuation of $3.3bn, making it India's fifth-most valuable startup.

Astonishingly, Swiggy has achieved all this in a mere five years.

Here are the details.

Swiggy announces its delight at the investments

"As we add more firepower to our vision of elevating quality of life for urban consumers by offering unparalleled convenience, we're pleased that visionary global investors share our purpose and have made such a significant investment in our future," said Swiggy CEO Sriharsha Majety.

Details

Swiggy had entered the unicorn club in June

Swiggy had entered the unicorn club in June

Swiggy's $1bn investment round was led by investors such as Naspers Ltd and Tencent Holdings Ltd.

The startup's last round of funding had come in June, wherein it had raised $210mn. The June funding round had taken Swiggy into the Indian unicorn club (startups valued above $1bn).

Currently, only Paytm, Ola, OYO Rooms, and Byju's are ahead of Swiggy in terms of startup valuation.

Love Business news?

Stay updated with the latest happenings.

Yes, notify me

Naspers reiterates its confidence in Swiggy

"We first partnered with Swiggy in April 2017 because we recognized the Swiggy team had built a sustainable, long-term business, that stood out among others in India. Now, nearly two years later, we have even more confidence Swiggy has the winning formula," said Naspers.

Competition

Swiggy's mega funding round leaves Zomato in the dust

Notably, with the latest funding round, Swiggy has seen its valuation soar by almost five times this year - in February, the startup was valued at $700mn, and in June, it was valued at $1.3bn.

The mega funding round also gives Swiggy a significant advantage over Gurugram-based rivals Zomato.

While Swiggy has raised $1.31bn over three funding rounds, Zomato has raised only $410mn.

Swiggy orders have grown 10x since April 2017

"Swiggy has 10x the number of orders per month since our first investment, has expanded throughout India to tier 1, 2 and 3 cities, and most importantly, is the most loved food delivery brand in India, providing the best service to consumers nationwide," added Naspers.

Plans

What Swiggy plans to do with the fresh funds

What Swiggy plans to do with the fresh funds

Reportedly, Swiggy plans to use the fresh funds to add more quality food brands.

Further, it plans to augment supply through deliver-only kitchens under its 'Access' initiative for restaurant partners.

Yet that's not all.

Most notably, Swiggy plans to improve the tech side of its platform, with a focus on building a next-generation AI-driven platform for hyperlocal discovery of eateries, and on-demand delivery.

Share this timeline

Ola Cabs

OYO Rooms

Swiggy

Paytm

Startups

Startups Funding

Unicorn

India

Tencent

Zomato

Share this timeline

Ask NewsBytes
User Image

Next Timeline