Foodtech major Swiggy, which competes with listed Zomato, is reportedly in talks to raise $300 million through an internal round of funding from existing investors, including Softbank, Prosus Ventures, and Alpha Wave.
According to the Entrackr report, the funding will likely to deployed towards the growth of its quick commerce business and new initiatives such as Minis.
In November last year, Swiggy announced the launch of Minis, a seller platform which allows sellers to sell their products across India without any Commission charged. However, payment gateway, delivery charges (if you opt for it), and 1-time onboarding fee is applicable.
The food delivery platform previously raised $700 million in January 2022 from Invesco with participation from other investors, including Baron Capital Group, Sumeru Venture, IIFL AMC Late Stage Tech Fund, Kotak, Axis Growth Avenues AIF-I, Sixteenth Street Capital, Ghisallo, Smile Group, and Segantii Capital. That round valued Swiggy at $10.7 billion. However, Looking at the current market state, Invesco, in March this year, slashed Swiggy's valuation by 25.2% to $8 billion.
The report further added that the latest round could be a downround with the valuation potentially being slashed to the tune of 30%.