Swiggy raises $700 mn in new funding round led by Invesco

The funding round saw participation from new investors such as Baron Capital Group, Kotak, among others.

Food delivery platform Swiggy on Monday announced that it raised $700 million in a new funding round led by Invesco.

Baron Capital Group, Sumeru Venture, IIFL and Kotak were among the new investors who participated in the latest funding round. 

Swiggy said existing investors like Alpha Wave Global, Qatar Investment Authority, Ark Impact, Prosus also participated in the round.

Economic Times reported that with the latest funding, the valuation of Swiggy stands at $10.7 billion.

Backed by the likes of SoftBank Group Corp., Swiggy is among a slew of Indian startups disrupting traditional industries as more consumers venture online. It competes with fellow unicorn Zomato Ltd., which went public this year in a $1.3-billion initial public offering.

"While the food delivery business has nearly doubled in gross order value (GOV) in the last year, this fundraise will enable Swiggy to further accelerate growth on the core platform and make meaningful investments to grow Instamart," Swiggy said in a statement.

Swiggy said its grocery delivery service Instamart is on track to reach an annualised gross merchandise value run rate of $1 billion in the next three quarters.

Instamart competes with Tata-owned BigBasket, Grofers, Amazon.com Inc's Amazon Fresh and Reliance Industries' JioMart. In Grofers, Swiggy's larger rival Zomato Ltd holds a stake.

With inputs from Reuters.