Swiggy has opened its massive ₹10,000-crore qualified institutional placement (QIP) today, following overwhelming shareholder approval at its extraordinary general meeting on December 8. The food delivery and quick commerce giant confirmed in a regulatory filing that 76.40% of shareholders participated in the vote, with an impressive 99.47% voting in favour of the fundraise making this one of the largest equity issuances in India’s consumer internet sector in 2024.
Why Is Swiggy Raising Funds Now?
The timing of the fundraise coincides with an intensifying battle in India’s hyper growth quick commerce market. Swiggy Instamart is scaling rapidly as it competes head-to-head with Blinkit and Zepto both of which have been aggressively deploying capital to expand dark stores, improve delivery speeds, and capture more users.
Blinkit recently raised ₹600 crore, bringing its total funding for the year to ₹2,100 crore. Zepto, too, secured a massive $450 million in fresh financing. These developments highlight the capital-heavy nature of the segment, where continuous investment is crucial for staying ahead in speed, reliability, and footprint.
How Will Swiggy Use the ₹10,000 Crore?
Swiggy has indicated that the proceeds from the QIP will be channelled toward strengthening its balance sheet, fuelling future growth, and supporting strategic investments across its food delivery and Instamart platforms. The company aims to enhance operational efficiencies, expand its last-mile delivery network, and accelerate its quick-commerce presence in key cities.
Industry Outlook
Swiggy’s mega fundraise underscores the fierce competition shaping India’s quick-commerce landscape. With consumer expectations shifting toward faster deliveries and broader assortments, this infusion of capital positions Swiggy to compete aggressively and consolidate its market standing in the months ahead.
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