Swiggy Becomes India’s Biggest Food Startup At Rs 42,000 Cr Valuation; Rs 3400 Cr Softbank Funding Approved
Competition Commission of India has given the go-ahead for Softbank to invest $450 million in Bundl Technologies, the parent company of Swiggy.
Multiple Investors Put In Nearly $1 Billion
The investment is part of the ongoing Series J round in which new investors including Falcon Edge Capital, Amansa Capital, Think Investments, Carmignac and Goldman Sachs were brought on board.
Collectively they invested $800 million in the six-year-old startup.
CCI tweeted that it “approves the proposed acquisition of a certain stake in Bundl Technologies (Swiggy) by SVF II Songbird (SoftBank Group entity).”
Competition With Zomato
Swiggy’s renewed valuation now stands at $5.5 billion, and has cemented its status as one of India’s eminent unicorns (a company with at least a $1 billion valuation).
Swiggy has been securing funding in order to prepare for its fight with IPO-bound rival Zomato.
Zomato is expected to raise Rs 9000 crore (or approximately $1.2 billion) in primary funding during its public listing this month.
Singapore’s GIC Pvt. Ltd and Qatar Investment Authority (QIA) will also likely join the current funding spree.
Swiggy chief executive, Harsha Majety, informed employees that it has promoted Phani Kishan Addepalli as its newest co-founder.
Majety was all praise for Addepalli who he calls his “fixer and go-to-guy” and a record setter in terms of “multiple high leverage functions from the ground up”.
Addepalli had joined Swiggy since its inception in 2015 and served as general manager.
He rose up the ranks to become vice president of strategy and investments and will now join the management team where he will be closely involved in shaping the startup’s future.
Big Names Call It Quits
The development comes after the recent exit of Vivek Sunder who was chief operating officer.
Swiggy’s co-founder and former-chief technology officer Jaimini had also left to join Pesto Tech, a career accelerator startup, as co-founder.
However, he remains a shareholder and board member at Swiggy.