At the issue price agreed for the transaction, Udaan is valued at nearly $1.9 billion, or about ₹17,953 crore. The company was last valued at around $1.75 billion during its Series E funding round in January 2024.
B2B commerce platform Udaan said on Monday that it will acquire Lynk Logistics, the retail distribution arm fully owned by Swiggy, through an all-stock transaction that values the business at ₹500 crore.
Under the deal, Trustroot Internet, Udaan’s parent company, will issue 166,534 Series R compulsorily convertible preference shares to Swiggy Networks at $314.4 per share. The total value of the shares is approximately $52.4 million. In return, Swiggy Networks will transfer its entire stake in Lynks Logistics, according to disclosures made by Swiggy to the stock exchanges on Monday. The share swap will give Swiggy around 2.8% ownership in Udaan. Swiggy will also make a separate primary equity investment of ₹75 crore in Trustroot, which will add another 0.4% stake and take its total holding to roughly 3.2%.
Based on this issue price, Udaan’s valuation comes to approximately $1.9 billion, equivalent to nearly ₹17,953 crore. Its previous valuation stood at about $1.75 billion during the Series E round completed in January 2024.
The business being sold generated ₹668 crore in revenue in FY26, which represented 2.90% of Swiggy’s consolidated revenue. According to the disclosures, the business had net assets worth ₹500 crore as of March 31, 2026. It is currently held within Swiggy Networks and will first be transferred to Lynks Logistics before the share transfer is completed. Lynks Logistics is a step-down subsidiary that reported nil revenue in FY26 and had a negative net worth of ₹11 lakh. Swiggy said the transaction is expected to be completed by October 22, 2026.
Swiggy acquired Lynk in July 2023 for an undisclosed amount by buying out The Ramco Cements and Ramco Industries. At the time, the acquisition marked Swiggy’s entry into India’s food and grocery retail distribution market. Founded in 2015 by Abinav Raja and Shekhar Bhende, Lynk works as an authorised distributor for FMCG brands and has a network of more than 100,000 retail stores. Bengaluru, Hyderabad, Chennai and Kolkata together account for around 75% of the company’s revenue.
For Udaan, the deal adds strong brand relationships and wider retail access across four metro markets while the company continues to grow its own-label business. Udaan said private labels currently contribute between 15% and 25% of staples sales across its operating cities.
The company said its revenue grew at a CAGR of around 25% over the 10 quarters from Q4 CY23 to Q1 CY26. During the same period, its contribution margin improved by nearly 500 basis points, while Ebitda burn fell by about 70%. Udaan added that Bengaluru, its biggest 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 transaction could also create scope for commercial cooperation between Udaan and Swiggy, with sourcing being the most immediate area under discussion. Udaan purchases FMCG products and staples at a national scale and works directly with brands, which could help Swiggy secure better terms for inventory needed by Instamart. Swiggy’s restaurant partners also buy staples, edible oil, fruits and vegetables, and packaging every week, a customer segment that Udaan already serves.
The transaction comes after Udaan completed a $160-million recapitalisation in July. The recapitalisation 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 financing, while BlackRock provided approximately $45 million in private credit.
This is Udaan’s second acquisition in the distribution business in a little over a year. In July 2025, the company acquired retail technology startup ShopKirana through an all-stock deal. Udaan also began its reverse flip from Singapore to India in March ahead of its planned listing.
The transaction remains subject to customary closing conditions and regulatory approvals. Kotak Investment Banking advised udaan on the deal.
