JOIN USSwiggy closing $800 mn funding round, valuation close to $5 billion
Food ordering and delivery platform Swiggy is closing $800 million (around Rs 5,862 crore) in funding with Falcon Edge Capital, Amansa Capital, Think Investments, Carmignac and Goldman Sach joining as new investors, according to an e-mail sent by company's co-founder and CEO to its employees.
The deal pegs the valuation of the company close to $5 billion, sources in know of the matter said.
"It gives me great pleasure to inform you all that as a part of our recent efforts, we're closing around $800 million in financing. Some of the world's best financial investors like Falcon Edge Capital, Amansa Capital, Think Investments, Carmignac and Goldman Sachs, are joining us as new investors this time," Swiggy co-founder and CEO Sriharsha Majety said in the e-mail.
Many of the company's existing investors including Prosus and Accel are also participating in the round, demonstrating huge excitement in its trajectory and plans for the future, he added.
A copy of the e-mail has been reviewed by PTI.
"Over the last year, thanks to all your efforts, we've managed to drive a strong recovery in the food delivery business with a very clear path to profitability," Majety said.
The food delivery business is the strongest it has ever been, and Swiggy is now well on its way to drive continued growth over the next decade, he added.
"Overall, between the offerings that are scaling fast now and the pipeline we have, our vision for unparalleled convenience will come to life in a very big way over the next few quarters," Majety said.
This fundraise gives the company a lot more firepower than the planned investments for its current business lines, he added.
"Given our unfettered ambition though, we will continue to seed/experiment new offerings for the future that may be ready for investment later," Majety said.
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", he added.