[Funding alert] Swiggy raises $43M more for Series I round from existing, new investors
Bengaluru-based foodtech unicornhas raised $43 million funding as a part of its ongoing Series I investment round. The total funds raised in this round is now at $156 million. Along with Tencent, the round saw participation from Ark Impact, Korea Investment Partners, Samsung Ventures, and Mirae Asset Capital Markets.
The Series I round was initiated in February this year, where the foodtech startup had raised $113 million led by Prosus NV (previously Naspers), along with Meituan Dianping and Wellington Management Company.
Founders of Swiggy (L-R - Nandan Reddy, Rahul Jaimini and Sriharsha Majety)
Rahul Bothra, CFO, Swiggy, said in a press statement shared by the company
“Swiggy has built a sustainable food delivery business over the years while solving various customer pain points. As we continue to strengthen and expand our services that offer unparalleled convenience to our consumers, we are humbled by the faith shown by our investors year-on-year, and welcome the new investors on board. Our focus remains to execute on our vision while building a sustainable path to profitability.”
With this funding, the valuation of the company continues to be $3.5 billion.
The current coronavirus pandemic affected 10-20 percent drop in food delivery as a service from the second week of March, according to areport. This is primarily because restaurants, main points of social gathering, have been shut.
Swiggy, nevertheless, has been working to enhance services of '' for the delivery of essentials. Apart from that, the foodtech unicorn has announced that it has set up a relief fund called 'Swiggy Hunger Savior Covid Relief fund', which will be used towards ensuring the safety and welfare of its delivery partners and their families.
The corpus for the fund will be created by Swiggy with primary contributions from the founders, senior leaders, employees and investors, as well as donations from customers and well-wishers. Sriharsha Majety, Co-founder and CEO, Swiggy, has committed 50 percent of his annual salary towards this fund.
Swiggy aims to raise Rs 10 crore for this fund and has already raised over Rs 4 crore through initial contributions from Swiggy's founders and employees.
(Edited by Kanishk Singh)