Invesco will contribute $200 million, with participation from other current investors such as Softbank. Swiggy is anticipated to follow Zomato with an initial public offering (IPO) in a year or two.
Mumbai: According to people familiar with the situation, Swiggy, an Indian food delivery business, is raising $600 million to $700 million in a round headed by Invesco that is expected to finish this month.
Other existing investors, such as Softbank Group Corp., would also participate, according to the people, who asked not to be identified because the details are confidential. Swiggy, formerly known as Bundl Technologies Pvt., is valued at around $10.5 billion, according to the press release.
According to Venture Intelligence and PwC India, Indian entrepreneurs raised $10.9 billion in the quarter ending September, as China’s crackdown makes the South Asian nation more appealing to foreign investors. Swiggy, situated in Bangalore, began commercial operations like Zomato Ltd., which is sponsored by the Ant Group Co.
Swiggy is anticipated to follow Zomato with an IPO a year or so later, according to one of the sources. Swiggy and Softbank representatives did not automatically respond to requests for comment.
Since April, when it was valued at $5.5 billion, the company’s value has nearly doubled. According to the sources, the fresh funds would be used to expand its grocery delivery company.