At the proposed issue price, Udaan is valued at around $1.9 billion, or approximately ₹17,953 crore. The company’s previous valuation was close to $1.75 billion in its Series E round in January 2024.
B2B platform Udaan said on Monday that it plans to acquire Lynk Logistics, the wholly owned retail distribution business of Swiggy, through an all-stock transaction that values the unit at ₹500 crore.
Trustroot Internet, the parent entity of Udaan, will issue 166,534 Series R compulsorily convertible preference shares to Swiggy Networks at $314.4 each. The total value of the shares will be about $52.4 million, and they will be issued in exchange for Swiggy Networks’ full ownership in Lynks Logistics, according to disclosures submitted by Swiggy to the stock exchanges on Monday. The transaction will give Swiggy an estimated 2.8% stake in Udaan. Swiggy will also separately invest ₹75 crore as primary equity in Trustroot, giving it another 0.4% stake and taking its total ownership to around 3.2%.
The issue price values Udaan at close to $1.9 billion, equivalent to nearly ₹17,953 crore. The business had last been valued at approximately $1.75 billion during its Series E fundraising round in January 2024.
The business being divested generated revenue of ₹668 crore in FY26, representing 2.90% of Swiggy’s consolidated revenue, while its net assets stood at ₹500 crore as of March 31, 2026, according to the disclosures. It is currently part of Swiggy Networks and will be moved into Lynks Logistics before the transfer of shares takes place. Lynks Logistics is a step-down subsidiary that recorded no revenue and had a negative net worth of ₹11 lakh in FY26. Swiggy said it expects the transaction to be completed by October 22, 2026.
Swiggy acquired Lynk in July 2023 for an undisclosed amount after buying out the holdings of The Ramco Cements and Ramco Industries. The transaction marked Swiggy’s entry at the time 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 through a network of more than 100,000 retail outlets. Bengaluru, Hyderabad, Chennai and Kolkata together contribute nearly 75% of its revenue.
For Udaan, acquiring Lynk brings additional brand relationships and retail reach across four metro cities as the company continues to expand its own-label business. Udaan said its private-label products account for 15-25% of staples sales across the cities in which it operates.
Udaan said its revenue increased at a CAGR of about 25% over the 10 quarters between Q4 CY23 and Q1 CY26. During the same period, its contribution margin improved by nearly 500 basis points, while Ebitda burn declined by around 70%. It added that Bengaluru, its largest market, has become 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.
Sources said the agreement may also pave the way for commercial cooperation between Udaan and Swiggy, with sourcing being the most immediate opportunity currently under consideration. Udaan purchases FMCG products and staples at a nationwide scale and maintains direct relationships with brands, which could help Swiggy negotiate improved terms for inventory required by Instamart. Swiggy’s restaurant partners also purchase staples, edible oil, fruits and vegetables, and packaging materials on a weekly basis, and this is a segment already served by Udaan.
The acquisition follows Udaan’s $160-million recapitalisation completed in July. The transaction included fresh equity, new debt and the conversion of a portion of its outstanding convertible bonds. Lightspeed Venture Partners, M&G Investments and Moonstone Capital backed the recapitalisation, while BlackRock provided approximately $45 million through private credit.
This is Udaan’s second acquisition in the distribution segment in just over a year. In July 2025, the company acquired retail technology startup ShopKirana through an all-stock transaction. Udaan also began its reverse-flip process from Singapore to India in March ahead of a planned listing.
The deal is subject to customary closing conditions and the necessary regulatory approvals. Kotak Investment Banking advised udaan on the transaction.
