Swiggy Completes Rs 2,400 Crore Rapido Stake Sale, Transfers Instamart to Subsidiary

Mumbai, September 24, 2025: Giant food delivery company Swiggy has completed arrangements for withdrawing its investment from bike taxi aggregator Rapido and reorganizing its quick-commerce venture Instamart as a standalone subsidiary. The board of the company approved deals aggregating to almost Rs 2,400 crore under its strategic realignment of portfolios.

Stake Sale of ₹1968 Cr of Rapido to Prosus Group and ₹431 Cr to Westbridge Investors

Swiggy announced that it will be selling 10 equity shares and 1,63,990 Series D Compulsorily Convertible Preference Shares (CCPS) of Rapido to MIH Investments One BV, a Dutch Prosus group company, for Rs 1,968 crore. The transaction is on an “arm’s length” basis under a share purchase agreement. In addition, Swiggy will transfer 35,958 Series D CCPS in Rapido to Setu AIF Trust (Westbridge) for Rs 431.49 crore.

The transaction is standalone and not a related-party transaction. The aggregate sale consideration of the two transactions is approximated at Rs 2,400 crore, enabling Swiggy to realize its investment while resolving any possible conflicts of interest, as Rapido has indicated that it would like to expand into the food delivery business.

Instamart Rakes in ₹2129.58 Cr Revenue in FY25, Now Transferred to Subsidiary

Swiggy has also made another significant decision, giving the go-ahead for the transfer of its instant-commerce business Instamart into a newly formed entity, Swiggy Instamart Private Limited, which will be an indirect step-down wholly owned subsidiary.

The transfer, to be carried out by means of a slump sale, comprises all assets and liabilities relating to the Instamart brand. This is pending shareholders’ sanction. Instamart clocked Rs 21,295.84 million in revenue in FY 2024–25 and accounted for 24.21% of Swiggy’s standalone revenue. By demerging the business, Swiggy will seek to create a strategy and focus-driven structure that adds operational efficiency and flexibility in resource deployment.

Share Price Reaction: Swiggy Shares Drop 1.28% in Morning Trade After Announcement

After the news, Swiggy Ltd (NSE: SWIGGY) share price opened at ₹458.20 on 24 September 2025, hitting a high of ₹460.90 before falling to a low of ₹440.45 as of 10:19 am IST. The stock last traded at ₹443.45, a fall of ₹5.75 (1.28%) from the last close, as investors weighed in on the company’s restructuring moves. Swiggy has a current market capitalisation of ₹1.02 lakh crore.

Swiggy’s ₹2,400 crore portfolio reshuffling marks its twin strategies: protecting its core food delivery business from mounting competitive threats while granting Instamart operational autonomy to grow in fast commerce. The news marks a structural repositioning for the long term to achieve business simplicity, enhanced efficiency, and more focused execution across multiple verticals.

REF: https://nsearchives.nseindia.com/corporate/SWIGGY_23092025192915_RTSPL_Transfer_-_Regulation_30_Disclosure_-_WB_Signed.pdf

https://nsearchives.nseindia.com/corporate/SWIGGY_23092025185333_IM_Transfer_-_Reg_30_Disclosure_-_BTA_Signed.pdf

https://nsearchives.nseindia.com/corporate/SWIGGY_23092025191010_RTSPL_Transfer_-_Regulation_30_Disclosure_-_Prosus_Signed.pdf

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