Notable investors to join the unicorn’s latest fundraising were Goldman Sachs and Qatar Investment Authority.
To expand its online grocery business, Swiggy will use the funding and inorganic growth by way of M&A deals. The fundraising comes days after the Zomato IPO that was subscribed nearly 40 times. Food delivery startup Swiggy said on Tuesday it has raised $1.25 billion in a funding round led by long-term investor Prosus and SoftBank’s Vision Fund 2 as it recovers from the impacts of the COVID-19 pandemic.
Sriharsha Majety, chief executive officer at Swiggy,said “The scope of food delivery in India is massive and over the next few years, we will continue to invest aggressively into growing this category”.
According to Swiggy’s cofounder and chief executive Sriharsha Majety, the foodtech startup will use the new capital to aggressively invest into its non-food verticals, especially its hyperlocal grocery service Instamart. Along with he says,“The food delivery business has dramatically improved in unit economics profile, and, with clear paths to profitability, that’s one area where we’ll continue to invest and grow more awareness to build on what we have. A significant part of the investments will be made in our non-food bets like Instamart,”.
Majety said ,“We have been discussing this for a while now, and over the course of the past few weeks, have been planning the way forward as well.”Majety will take over from Sunder, who will transition out by October.“I will be directly overseeing the marketplace business with immediate effect,” Majety wrote in an email to employees then.