Swiggy To Invest Rs 1,000 Cr In Scootsy Logistics To Boost Business Expansion

Swiggy, a food delivery and quick-commerce firm, Swiggy plans to invest up to Rs 1,000 crore in its subsidiary Scootsy, which handles supply chain and distribution. 

Approved on Feb. 21, 2025, the investment will be through a rights issue, with shares priced at Rs 7,640 each, including a Rs 7,630 premium. The funds will be infused in multiple stages, as per regulatory filings.

The funds will be used mainly for working capital and infrastructure to improve the company's logistics and supply chain.

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Founded in 2014, Scootsy Logistics provides supply chain services for wholesalers and retailers, including warehouse management, processing, and order fulfillment.

Its revenue jumped to Rs 5,795.7 crore in FY24 from Rs 3,686.2 crore the previous year.

In Q3FY25, Scootsy made up 42% of Swiggy’s total revenue, with earnings rising 23% QoQ to Rs 1,692 crore from Rs 1,377 crore in Q3FY24.

Swiggy's investment will not affect its ownership, keeping Scootsy a wholly owned subsidiary. The deal, classified as a related-party transaction, follows fair market terms.

The Rs 1,000 crore funding will help upgrade Scootsy’s infrastructure to match Swiggy’s growing market presence.

Swiggy has expanded beyond food delivery into quick commerce. Strengthening Scootsy’s logistics will improve customer satisfaction and speed up deliveries, giving Swiggy a competitive edge.

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