CCI clears SoftBank’s $450-million investment in Swiggy

India’s anti-monopoly watchdog has approved SoftBank Vision Fund II’s request to invest in food delivery app Swiggy. On Monday, the Competition Commission of India () wrote on Twitter that it had approved the “proposed acquisition of [a] certain stake in Bundl Technologies (Swiggy) by SVF II Songbird (SoftBank Group entity)”.

ET
first reported on April 16 that the Masayoshi Son-led SoftBank Group Corp was finalising a $450-million investment in the online food delivery platform at a pre-money valuation of $5 billion. Last month, the technology fund had
sought approval from CCI to invest in Swiggy.
The funding is an extension of Swiggy’s
$800-million round, which saw participation from investors such as Falcon Edge, Amansa Capital, Think Investments, Carmignac and Goldman Sachs.

The Japanese conglomerate has been eyeing the food delivery sector since 2017 and has held talks with both Swiggy and Zomato. However, Swiggy’s plan to diversify beyond food delivery into groceries and daily essential services has worked in its favour on getting SoftBank’s backing, sources had told us. The fund is also a
co-investor with Zomato in e-grocer Grofers.

Rival Zomato will
launch its public listing on July 14, and intends to raise Rs 9,375 crore at a post-money valuation of Rs 64,000 crore at the top end of the Rs 72-76 per share price band.

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