Naspers adds to Swiggy investment


According to Bloomberg, it is rumoured that Naspers will again be participating in Swiggy's third fund-raising round of the year, where the company is looking to raise approximately $600 million. Swiggy is an online food-ordering and delivery business based in Bangalore, India. The company was founded in 2013 on the ethos of delivering food to the urban foodie from their favourite restaurants, a trend that is taking off like a rocket ship.

Naspers already has a 22% stake in Swiggy, making them the largest shareholder in the company which has a valuation of more than $2 billion, based on the previous funding round. Management seems to be sticking with early stage investments in highly populated jurisdictions, like India, because that's where the most potential for compound growth is.

Food delivery seems to be one of the favourite industries for early stage investors like Masayoshi Son's SoftBank and their $100 billion Vision Fund, and other capital allocators like Naspers. Currently the online food-delivery market is very fragmented and there is no one clear winner. Naspers has done a great job of diversifying its food delivery investments by geography and by investing in household names like Delivery Hero in Germany, iFood in Brazil, and Swiggy in India.