India’s leading online food ordering and delivery platform Swiggy has acquired Mumbai-based on-demand delivery startup Scootsy. It is expected to be an all-cash deal worth around ₹50 crores.
This acquisition comes soon after it was reported by TheIndianWire, that Swiggy is looking to venture into hyperlocal delivery, as it diversifies its delivery strategy.
This acquisition will help Scootsy to strengthen its restaurant network and help the brand expand into newer cities with the help of its operational strength. It will be able to leverage Swiggy’s expertise to achieve its goals.
In turn, the acquisition will also help Swiggy to penetrate deeper in Mumbai as it adds more restaurants to its already extensive network of 40,000 restaurants.
Scootsy, an online logistics startup was founded by Rishi Khiani and Sandeep Das in 2015. It delivers a wide range of products to its users in Mumbai. Its range of products includes food, fashion, stationery, fashion and electronics, among other products. Scootsy will continue to operate as an independent app after the acquisition.
It offers a service called Scootsy Express that delivers food to corporate offices across the city within minutes.
Scootsy had earlier raised around ₹24.7 crores ($3.6 million) in seed funding round led by Khattar Holdings along with Agnus Capital.
“We are excited to become a part of India’s largest food ordering and delivery platform,” said Sandeep Das, CEO, Scootsy. He further added that its users will benefit from Swiggy’s operational excellence and deep understanding of the ecosystem.
In June, Swiggy had raised $210 million in a series G funding led by South Africa-based internet giant Naspers, along with Hong Kong-based internet investment firm DST Global.
Overall, Swiggy has raised over $465 million, since inception. This online food delivery platform has a presence in over 15 cities across the country with more than 40,000 restaurant partners, and around 40,000 delivery executives fulfilling those orders. It is operational in major cities including Delhi, Mumbai, Kolkata, Hyderabad, Bengaluru, Pune, among others.