India has just witnessed the largest ever funding round by a food-technology startup in the country. Bengaluru-based Swiggy today (Dec.20) said it has signed agreements to raise $1 billion (Rs6,993.50 crore) from a clutch of investors led by South Africa’s Naspers. The round will also see participation from new investors Tencent, Hillhouse Capital, and Wellington Management, and existing ones such as DST Global, Meituan Dianping, and Coatue Management.
Swiggy’s successful funding round comes at a stage when there is no clear brand loyalty with either Zomato or Swiggy, according to industry experts.
“There is still a window to capture the market and Swiggy’s move to secure such huge funding at this juncture is very strategic,” Sanchit Vir Gogia, CEO of Greyhound Research told Quartz. “Swiggy can gather crucial learnings from Naspers.”
[Quartz]
Analyst:
Sanchit Vir Gogia: Sanchit is the Chief Analyst, Founder & CEO of Greyhound Research, a Global, Award-Winning, Technology & Innovation Research & Advisory firm. To read more about him, click here.
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