Sumit Vishwakarma08 Sep 2026
13:04IST
New Update
Bengaluru-based B2B e-commerce platform Udaan has agreed to acquire Swiggy’s Lynk retail distribution business in a transaction that Udaan said values the business at Rs 500 crore.
The deal is structured as a share swap involving Swiggy Networks Limited, a wholly owned subsidiary of Swiggy, and Trustroot Internet Private Limited, Udaan’s parent entity.
According to Swiggy’s stock-exchange filing, its B2B authorised-distribution business is currently operated by wholly owned subsidiary Swiggy Networks Limited.
Under the transaction, the business will first be transferred to Lynks Logistics Limited, after which Swiggy Networks will sell its entire shareholding in Lynks to Trustroot.
In return, Trustroot will issue 166,534 Series R compulsorily convertible preference shares to Swiggy Networks at $314.40 per share. The share-swap transaction will give the Swiggy group an approximately 2.8% stake in Udaan.
Separately, Swiggy will make a primary investment of Rs 75 crore in Trustroot for an additional stake of about 0.4% in Udaan, according to the company statement.
Swiggy’s filing shows that Lynks Logistics itself reported no standalone revenue in the financial year ended 31 March 2026 and had a negative net worth of Rs 11 lakh.
The B2B distribution business that is to be transferred into Lynks generated revenue of Rs 668 crore during the year, representing 2.9% of Swiggy’s consolidated revenue. Its attributable net assets stood at Rs 500 crore at the end of March.
Lynk operates a technology-led retail distribution platform connecting consumer brands with retailers. Udaan said the acquisition will add distribution capabilities, brand relationships and retail networks to its existing operations.
Bengaluru, Hyderabad, Chennai and Kolkata together account for about 75% of the distribution business’s revenue strengthening its presence across four key markets and complementing its cluster-led operating model. The acquisition is also expected to help consumer brands reach a wider network of retailers
“Bringing LYNK together with udaan, the market leader, combines complementary capabilities with udaan’s scale and technology-led platform serving India’s retail ecosystem,” Swiggy CFO Rahul Bothra said.
Swiggy announced an agreement to acquire Lynk in July 2023 as it expanded into India’s retail distribution market. The acquisition was completed on 29 August 2023 through a share-swap agreement. Swiggy’s subsequent financial statements recorded purchase consideration of Rs 3,855.39 million, or about Rs 385.5 crore.
At the time Swiggy announced the acquisition, Lynk, founded in 2015, had a network of more than 100,000 retail stores across eight cities and worked with major fast-moving consumer goods companies as an authorised distributor.
The latest transaction comes as Udaan works to strengthen its financial position and move towards profitable growth and longer-term plans to access public markets.
The Lynk transaction follows a roughly $160 million recapitalisation announced by Udaan in July, involving new equity, fresh debt and the conversion of part of its outstanding convertible debt into equity.
The financing also included about $45 million through a private-credit facility from a global investment management firm. According to Udaan, the exercise was intended to strengthen its balance sheet, improve financial flexibility and support profitable growth alongside its longer-term public-market ambitions.
“This deal is a strong endorsement of the huge eB2B opportunity and the progress udaan has made in building an efficient and sustainable business,” Udaan co-founder and CEO Vaibhav Gupta said.
The transaction will also require applicable regulatory approvals. Swiggy’s exchange filing lists 22 October 2026 as the expected completion date, subject to the conditions and terms set out in the transaction documents.
Kotak Investment Banking acted as financial adviser to Udaan on the transaction.
LogisticsswiggyB2BE-commerceUdaanAcquisition
