At the agreed issue price, Udaan is valued at around $1.9 billion, or approximately ₹17,953 crore. The company’s last reported valuation was about $1.75 billion during its Series E funding round in January 2024.
B2B commerce company Udaan said on Monday that it will acquire Lynk Logistics, Swiggy’s fully owned retail distribution business, in an all-stock transaction. The deal values Lynk at ₹500 crore.
As part of the agreement, Trustroot Internet, which is Udaan’s parent company, will issue 166,534 Series R compulsorily convertible preference shares to Swiggy Networks. Each share will be priced at $314.4, taking the total value of the shares to around $52.4 million. In exchange, Swiggy Networks will transfer its entire shareholding in Lynks Logistics, according to disclosures made by Swiggy to the stock exchanges on Monday. The transaction will give Swiggy roughly 2.8% ownership in Udaan. Swiggy will also separately invest ₹75 crore in primary equity in Trustroot, giving it another 0.4% stake and taking its total holding to around 3.2%.
The share issue values Udaan at close to $1.9 billion, or nearly ₹17,953 crore. The company was previously valued at about $1.75 billion during its Series E round in January 2024.
The business being transferred recorded revenue of ₹668 crore in FY26, contributing 2.90% to Swiggy’s consolidated revenue. The disclosures also showed that the business had net assets of ₹500 crore as of March 31, 2026. It is currently held under Swiggy Networks and will first be moved into Lynks Logistics before the shares are transferred. Lynks Logistics, a step-down subsidiary, reported no revenue in FY26 and had a negative net worth of ₹11 lakh. Swiggy said it expects the sale to be completed by October 22, 2026.
Swiggy had acquired Lynk in July 2023 for an undisclosed amount after purchasing the holdings of The Ramco Cements and Ramco Industries. At the time, the deal marked Swiggy’s entry into India’s food and grocery retail distribution market. Lynk was founded in 2015 by Abinav Raja and Shekhar Bhende and works as an authorised distributor for FMCG brands. Its network covers more than 100,000 retail stores. Bengaluru, Hyderabad, Chennai and Kolkata together contribute about 75% of Lynk’s revenue.
For Udaan, the acquisition adds established brand partnerships and stronger retail coverage across four metro markets at a time when the company is increasing its focus on its own labels. Udaan said private-label products contribute around 15-25% of staples sales across the cities where it operates.
Udaan said its revenue grew at a CAGR of about 25% over the 10 quarters between Q4 CY23 and Q1 CY26. During this period, its contribution margin improved by nearly 500 basis points, while Ebitda burn fell by around 70%. The company also said Bengaluru, its largest market, is now Ebitda profitable.
“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.
According to sources, the transaction could also create opportunities for commercial cooperation between Udaan and Swiggy, with sourcing currently seen as the most immediate area being explored. Udaan buys FMCG products and staples at a national scale and maintains direct relationships with brands, which could help Swiggy get better terms for inventory used by Instamart. Swiggy’s restaurant partners also purchase staples, edible oil, fruits and vegetables, and packaging every week, and Udaan already serves this customer segment.
The deal follows Udaan’s $160-million recapitalisation in July. The financing included fresh equity, new debt and the conversion of part of its outstanding convertible bonds. Lightspeed Venture Partners, M&G Investments and Moonstone Capital backed the recapitalisation, while BlackRock provided approximately $45 million in private credit.
This will be Udaan’s second acquisition in the distribution space in a little more than a year. In July 2025, the company acquired retail technology startup ShopKirana through an all-stock transaction. Udaan also began its reverse flip from Singapore to India in March ahead of a planned listing.
The transaction is subject to customary closing conditions and required regulatory approvals. Kotak Investment Banking advised udaan on the deal.