The proposed share issue values Udaan at close to $1.9 billion, which is approximately ₹17,953 crore. In comparison, the B2B company was valued at around $1.75 billion during its Series E financing round completed in January 2024.
Udaan, the B2B commerce platform, said on Monday that it has agreed to acquire Lynk Logistics, Swiggy’s wholly owned retail distribution business, through an all-stock transaction that places Lynk’s value at ₹500 crore.
Under the terms of the agreement, Trustroot Internet, which is Udaan’s parent entity, will allot 166,534 Series R compulsorily convertible preference shares to Swiggy Networks. Each share will be issued at $314.4, taking the total transaction value to approximately $52.4 million, in return for Swiggy Networks transferring its entire shareholding in Lynks Logistics. The details were disclosed by Swiggy in filings submitted to the stock exchanges on Monday. Once completed, the share exchange will give Swiggy an approximately 2.8% stake in Udaan. Swiggy will also separately put ₹75 crore of primary equity into Trustroot, securing an additional 0.4% and raising its total holding to roughly 3.2%.
At this issue price, Udaan’s valuation works out to nearly $1.9 billion, or about ₹17,953 crore. The company’s previous valuation was approximately $1.75 billion in its Series E fundraising round in January 2024.
The business included in the sale generated ₹668 crore in revenue during FY26, equivalent to 2.90% of Swiggy’s consolidated revenue. Its net assets stood at ₹500 crore as of March 31, 2026, according to the exchange disclosures. The operation is presently held within Swiggy Networks and will be moved into Lynks Logistics before the ownership transfer takes place. Lynks Logistics is a step-down subsidiary that reported no revenue in FY26 and had a negative net worth of ₹11 lakh during the year. Swiggy said the transaction is expected to close by October 22, 2026.
Swiggy originally acquired Lynk in July 2023 for a consideration that was not disclosed, purchasing the business from The Ramco Cements and Ramco Industries. The deal represented Swiggy’s entry at that time into India’s food and grocery retail distribution segment. Established in 2015 by Abinav Raja and Shekhar Bhende, Lynk operates as an authorised distributor for FMCG brands and reaches a network of more than 100,000 retail outlets. Approximately 75% of the company’s revenue comes from Bengaluru, Hyderabad, Chennai and Kolkata.
For Udaan, bringing Lynk into its business provides access to additional brand partnerships and a wider retail network across four metropolitan markets as Udaan continues to increase its focus on its own labels. The company said private-label products currently contribute around 15-25% of staples sales across the cities in which it operates.
According to Udaan, revenue grew at a CAGR of roughly 25% over the 10-quarter period running from Q4 CY23 to Q1 CY26. Its contribution margin improved by close to 500 basis points during this period, while Ebitda burn was reduced by approximately 70%. Udaan also said Bengaluru, which is its largest market, has reached Ebitda profitability.
“The acquisition of Lynk further strengthens our business and expands our presence across some of India’s most important consumption markets,” said Vaibhav Gupta, co-founder and CEO, Udaan.
“We are firm believers in the large B2B opportunity that exists in India, and in Udaan’s position as the category creator in this space,” said Rahul Bothra, CFO, Swiggy, adding that the additional primary capital investment of ₹75 crore reflects Swiggy’s continued confidence in the space.
Sources said the transaction could additionally create room for commercial cooperation between Swiggy and Udaan, with sourcing currently being considered as the most immediate opportunity. Udaan procures FMCG products and staples at a nationwide scale and has direct relationships with brands, which could allow Swiggy to obtain improved purchasing terms for inventory used by Instamart. Swiggy’s restaurant partners also make weekly purchases of staples, edible oil, fruits and vegetables, and packaging, representing a segment that Udaan already caters to.
The deal comes after Udaan completed a $160-million recapitalisation in July. That transaction involved fresh equity capital, new debt and the conversion of a portion of the company’s outstanding convertible bonds. Lightspeed Venture Partners, M&G Investments and Moonstone Capital supported the recapitalisation, while BlackRock contributed approximately $45 million through private credit.
This acquisition will be Udaan’s second distribution-sector purchase in a little more than a year. In July 2025, it acquired retail technology startup ShopKirana through another all-stock transaction. The company also started its reverse-flip process from Singapore to India in March as part of preparations for a planned listing.
Completion of the transaction remains subject to customary closing requirements and applicable regulatory clearances. Kotak Investment Banking advised udaan on the transaction.
