Swiggy raises $800 million from fund managers, investors
BusinessToday.In April 5, 2021
Food delivery start-up Swiggy has raised $800 million from investors, including Goldman Sachs and global alternative asset manager Falcon Edge.
Singapore-based fund management company Amansa Capital, private investment firm Think Capital and French asset management firm Carmignac also participated in the funding round, which valued the company at $5 billion. Besides, existing investors like Prosus and Accel were also part of the funding round.
"This fundraise gives us a lot more firepower than the planned investments for our current business lines. Given our unfiltered ambition though, we will continue to seed/experiment new offerings for the future that may be ready for investment later," Moneycontrol quoted Swiggy co-founder and CEO Sriharsha Majety as saying in an email to employees while announcing the fund raise.
Majety said Swiggy's business is the 'strongest it has ever been', adding that the company has a clear path to profitability.
"The next 10-15 years offer a once-in-a-lifetime opportunity for companies like Swiggy as the Indian middle class expands and our target segment for convenience grows to 500 million users over this period," the publication quoted him as saying.
The fund raise by Swiggy comes at a time when its rival Zomato is looking to go public. As per reports, the company plans to raise about $650 million from its initial public offering.