Mega funding for Swiggy; raises $1 billion war chest to bite into Zomato, Foodpanda, Uber Eats market share

Food delivery startup Swiggy has raised $1 billion in Series H funding round led by its existing investor Naspers, the investor firm said in a statement today. The new round has reportedly shot up Swiggy’s valuation to $3.3 billion. Naspers claimed that Swiggy has doubled its gross merchandise value in the last six months without revealing figures. Other existing investors including DST Global, Meituan Dianping and Coatue Management, along with new investors Tencent, Hillhouse Capital and Wellington Management also participated in the round.

Swiggy is engaged in an intense competition with other major players in the hyper-competitive food tech market involving Zomato, which is backed by Ant Financial; Foodpanda, which is run by Ola; and Uber Eats.

The funds will be deployed towards strengthening its supply chain through “delivery-only kitchens”, hiring talent particularly for machine learning and engineering roles and building an AI-based platform for hyperlocal discovery and on-demand delivery, Naspers said.

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