Swiggy Announces ₹4.31 Billion Share Sale in Rapido to Setu AIF Trust, Enhancing Strategic Portfolio Management

Swiggy Ltd has revealed a strategic divestment involving the sale of 35,958 Series D compulsorily convertible preference shares (CCPS) in Rapido to Setu AIF Trust for ₹4.31 billion. This transaction marks a calculated move by Swiggy to optimize its investment portfolio while enabling Rapido to access fresh capital for growth.

 

Key Highlights:

 

The agreement entails Swiggy’s sale of 35,958 Series D CCPS in Rapido, representing a portion of its equity stake, to Setu AIF Trust, a specialized alternative investment fund focused on growth investments.

 

The deal size of ₹4.31 billion underlines Swiggy’s commitment to streamlining its investments and focusing resources on its core food delivery and quick commerce verticals.

 

Setu AIF Trust’s acquisition supports Rapido’s ongoing expansion ambitions in the fast-growing two-wheeler ride-sharing sector, providing essential capital for scaling operations, driver acquisition, and technology enhancement.

 

Swiggy maintains a strategic relationship with Rapido while reallocating capital to areas aligned with its long-term growth vision.

 

The transaction reflects recent trends of Indian startups rationalizing portfolios and leveraging strategic investors to fuel sector-specific growth.

 

Swiggy’s management underscored the importance of such partnerships in fostering innovation, operational focus, and sustainable market leadership in a competitive environment.

 

Regulatory approvals and compliance formalities have been completed, with the transfer of shares set to strengthen Rapido’s financial and operational positioning.

 

The sale is expected to positively impact Swiggy’s balance sheet and capital allocation efficiency, supporting its ongoing strategic initiatives.

 

Market and Strategic Outlook:

 

This share sale exemplifies strategic portfolio optimization prevalent among tech-focused firms in India’s dynamic investment landscape.

 

Setu AIF Trust’s involvement brings specialized expertise and supportive capital, accelerating Rapido’s ability to capture urban mobility demand and enhance service offerings.

 

Investors view this transaction as a positive development, reinforcing both Swiggy’s focus on core competencies and Rapido’s growth potential.

 

In summary, Swiggy’s ₹4.31 billion agreement to sell Series D CCPS in Rapido to Setu AIF Trust highlights prudent capital management and sustained commitment to scaling India’s tech mobility ecosystem.

 

Sources: Swiggy Ltd Corporate Announcements, Economic Times, Bloomberg India, Moneycontrol, Business Standard (September 2025)