MUMBAI: In a boost for Swiggy, American investor Baron Capital has marked up the food delivery company’s valuation to about $12.1 billion as of Dec-end, US regulatory filings showed. This is 13% higher than the startup’s peak valuation of $10.7 billion at which it had last raised $700 million from Invesco-led investors in Jan 2022.
The valuation boost is significant for Swiggy, which is preparing for a public market debut, and comes barely two months after its other investor Invesco made filings notifying that it had raised the startup’s valuation to $8.3 billion.This, however, is not the first time that Baron Capital has raised Swiggy’s valuation. Last year, the company had marked up the startup’s valuation to $8.5 billion. Swiggy declined to comment. Baron Capital had also participated in Swiggy’s last fund-raise.
Swiggy – which rivals Zomato – has been making attempts to reduce its cash burn and move towards profitability. Earlier this year, it let go of 350-400 employees or around 7% of its workforce in a second round of layoffs so as to check costs and build in more efficiencies. With several unicorn startups gearing up to get listed, they are sharpening focus on achieving profitability – a metric that public markets tend to reward.