“Over the last financial yea. A lot of early grocery delivery startups have either failed or had to pivot just to survive. While they already had foreign investors, the company went looking for more funds and new investors in 2015 and that’s when Chinese investors Alibaba Group and Foxconn Technology Group found an opportunity to lead a $500 million funding round. However, its success came at a price as the founders had to give up equity to bring in new investors who could help them scale their business. It has ventured into e-commerce with the launch of Paytm Mall in 2016, wealth management with Paytm Money and online gaming with Paytm First Games in 2018. Earlier in 2018, Tencent Holdings became its first Chinese investor when it invested $100 million into the company. Let’s take at 10 Indian unicorn startups that have raised Chinese investment over the last couple of years: https://www.youtube.com/watch?v=qNNB1lIHHg4. In the last year alone, Indian startups raised a total of $14.5 billion and out of that $4 billion came from Chinese investors. However, next year is when Chinese conglomerate Tencent Holdings and investment firm Hillhouse Capital bought a stake in Udaan and helped the company raise even bigger funding round bringing in $585 million. This is the reason why a majority of Snapdeal’s orders come from tier 2 and tier 3 cities. However, Swiggy founders Sriharsha Majety, Nandan Reddy, and Rahul Jaimini made modest returns of Rs 7.1 crore each during FY19. Pratik Bhakta Despite partial stake sale Accel, Saif and NVP are the second, third, and fourth biggest shareholders in Swiggy with 7.99 per cent, 7.21 per cent, and 6.25 per cent respectively. Apart from Naspers, existing investors who participated in that round included DST Global, Meituan Dianping and Coatue Management. The reason for growing foreign investment and more importantly Chinese investment in Indian startups is simple. Chinese investors have pumped in an estimated $4 billion into India’s tech startups which includes bets on 18 out of the country’s 30 unicorns, according to a Gateway House report. The funding round in December had also received contributions from new investors including Chinese conglomerate Tencent Holdings, Hillhouse Capital and Wellington Management Company. Swiggy was founded by Sriharsha Majety, Nandan Reddy, and Rahul Jaiminiin in 2014 and is headquartered in Bangalore, Karnataka, India. Founded by Abhinay Choudhari, Hari Menon, Vipul Parekh, VS Sudhakar in 2011, BigBasket is one of India’s largest online food and grocery store offering over 60,000 products from 1,000 brands. The data shared by business signals platform Paper.vc revealed that Saif Partners made the highest return of Rs 438 crore ($61 million) followed by Rs 401 crore ($56 million) earned by Norwest, $312.8 crore ($44 million) secured by Bessemer, and Rs 178.8 crore ($25 million) by Accel Partners by offloading parts of their stakes. Hong Kong-based SAIF Partners was the first company along with US-based Accel to invest $2 million in its first institutional funding round in 2015. Copyright © 2020 - Sorting Hat Media Networks Private Limited, 18 out of 30 Indian startup unicorns are funded by China, Flipkart’s growth from an online bookstore to a full-fledged e-commerce company, MHRD announces Addition of 4 Kendriya Vidyalayas, Covid-19 aftermath : Tata Motors to remove 1,100 jobs from Jaguar Land Rover (JLR) to save money. Among the investors who have bought stakes in the company through these secondary transactions were Naspers, Tencent, Hillhouse, Coatur, DST, Wellington Management and China’s delivery platform Meituan Dianping. Till date, Paytm’s parent company One97 has raised a total of $4.4 billion and according to Crunchbase data, more than $900 million comes from the Alibaba Group. Founders Majety, Jaimini, Reddy have 5.82 per cent, 2.10 per cent, and 2.63 stakes respectively. It was later rebranded as Zomato in 2010 and started food its delivery service in 2015. Accel Partners couldn’t be reached. Till date, Ola has raised $3.8 billion from its investors. Founded by Bhavish Agarwal and Ankit Bhati in 2010, Ola aims to build mobility solutions for a billion people. Some of Swiggy’s existing investors include DST Global, China’s Meituan Dianping and Coatue Management. The company caters to over 10 million customers across 25 cities. Despite … Swiggy had raised two rounds of funding in FY19 — $210 million around June by DST Global and Naspers along with its international investment unit Prosus and $1 billion in December by Prosus and Naspers during that valued the company at $3.3 billion. Chinese investments have come under scrutiny recently in … In 2018, a $100 million funding was received by Swiggy from Chinese Shopping Platform- Meituan-Dianping and existing investor Naspers and small investments that followed that year led the company’s valuation to over $1 Billion, making Swiggy a member of the prestigious Unicorn Club. Swiggy: Restaurants in your pocket. Founded by Bhavit Sheth and Harsh Jain in 2008, Dream11 is a fantasy gaming platform that enables users to play fantasy games like cricket, football, basketball and hockey. Lottery to be taken as ‘goods’ for the purposes of GST:... Philippines considering making immigration tougher for Chinese nationals due to gambling... Legalize and regulate gambling in India: MoS Finance Anurag Thakur. Zomato, swiggy have to keep away from Chinese investors and try to keep their companies totally Indian. Ola is doing this through its ride-hailing platform that connects over 1.5 million drivers with millions of customers serving more than a billion rides every year across 250 cities in India and also countries like Australia, New Zealand, and the UK. In merely six years, Swiggy now has more than 1,40,000 restaurants on its platform serving 20 million customers in over 500 cities across India. Financial Express is now on Telegram. Earlier this month, Swiggy raised $43 million in a funding round amid reports of food delivery companies in India facing a plunge ... Chinese investors have come in the form of both corporates such as Alibaba and Tencent and pure-play investment firms such as Shunwei Capital and Hillhouse Capital. Track . Swiggy received $100 million from China-based Meituan-Dianping and Naspers in 2018 and a string of investments boosted the company's valuation to over a $1 billion. Chinese investors have been a part of Swiggy’s journey since its early days. Fosun's investments include logistics firm Delhivery, payments startup Dot and … (Photographer: Dhiraj Singh/Bloomberg) Food ordering platform Swiggy on Monday announced a secondary liquidity programme for its employees who were part of the employee stock ownership plan (ESOP) of the company. india china border dispute New India under China's watch: 1400 companies including Paytm, Zomato, Swiggy monitored. Since then, Chinese giants like Meituan-Dianping, Tencent Holdings and Hillhouse Capital Group have invested an estimated more than $500 million. China’s Tencent in talks for significant investment in Swiggy. The users can either play these fantasy games for free or win cash prizes while playing. Dream11 became a unicorn after it raised an undisclosed amount of funds from the Chinese asset management firm Steadview Capital in 2019. However, Alibaba’s financial services company Ant Financial became a stakeholder in Zomato in 2018 with an investment of $200 million. CAIT Seeks Probe Into Chinese Investors Of Zomato, Paytm, BYJU’S, Swiggy Among 141 Indian Startups Recognizing the toll of millions of vehicles on the environment, the company has also started its latest venture Ola Electric which aims to bring 1 million electric vehicles on the roads by 2021. Founded by Kunal Bahl and Rohit Bansal in 2010, Snapdeal is a value-focused online marketplace offering products required by the people who are coming online for the first time. Hong Kong-based SAIF Partners was the first company along with US-based Accel to invest $2 million in its first institutional funding round in 2015. For instance, early investors Harmony Partners and RB Investments continue to be on the cap-table even as “only in 2019 did Prosus (Naspers) managed to increase its holding to 38.82 per cent.,” said Durai. Fast forward to today, OYO is not only India’s leading hotel chain but it has expanded its presence globally in the last eight years. In China, Tencent runs an instant messaging platform WeChat, which is an equivalent of WhatsApp, and a host of gaming apps and ecommerce businesses. The final amount raised by the two companies may change because the talks are at an initial stage. Like us on Facebook and follow us on Twitter. Earlier this year, Zomato further strengthened its position in food delivery space by acquiring UberEats in India. Chinese technology giant Alibaba owns over 40% stake in Paytm. Alibaba became BigBasket largest shareholder when it helped the company raise $300 million in its series E round in 2018. In order to achieve such lofty goals in such a short time, every company needs cash. IN THE SPOTLIGHT . While earlier press reports had speculated on the conclusion of large secondary transactions but the latest filings vary in certain details. If we talk about overall Chinese ownership, both Alibaba and SAIF Partners together own about 60% of Paytm. Online grocery delivery is one of the toughest markets to crack as it has low margins and high churn rates. With the changes in India’s foreign direct investment (FDI) policy and PM Modi’s call for going ‘vocal for local’, it is worth introspecting the scale of Chinese investment in Indian startups. Swiggy may raise as much as $200 million, one of the people said. You have entered an incorrect email address! It is evident that China has been playing an active role in India’s startup ecosystem for the last 4-5 years. Later in the same year, Ant Financial invested another $210 million. Swiggy, which competes in the … India does not have global tech giants like Alibaba, Google, Microsoft, Tencent or Facebook that can invest millions of dollars that are required by Indian startups to grow. Rahul Jaimini, one of the co-founders of Swiggy who hung his boot at the foodtech major earlier this month, holds a 2% stake in the company While OYO has largely remained free of Chinese investors, just last year it received $100 million from Chinese transportation company Didi Chuxing. Swiggy has over 1.6 lakh restaurant partners across over 500 cities and has a delivery fleet of more than 2.25 lakh active delivery partners. order from your favorite restaurants & track on the go with swiggy. SIGNALLING A clear investment shift in the food business, money pumped in by Private Equity (PE) and Venture Capital (VC) players in just two online platforms — Zomato and Swiggy — was merely $143 million less than what was invested in the country’s organised restaurant segment over the last five years. OYO has more than 43,000 hotels in its portfolio with over 1 million rooms across 800 cities across 80 countries. Since then Alibaba has made a couple more investments in BigBasket. Save my name, email, and website in this browser for the next time I comment. Naspers and Tencent-backed food delivery and discovery platform Swiggy’s earlier and existing investors — Saif Partners, Norwest Venture Partners, Bessemer Venture Partners, Accel Partners and more have been able to make returns worth Rs 1,597 crore ($225 million) by selling parts of their stakes in successive secondary fundraising rounds the company had during FY19, data showed. 2020The Indian Express [P] Ltd. All Rights Reserved. Swiggy Investments & Acquisitions (5) Company Name Deal Date Deal Type Deal Size Industry Lead Partner; 0000000 (0000 0000: 07-Apr-2020: 00000 00000 00: 000.00: Food Products: 00000 000000: 0000: 04-Feb-2019: 000000000000000000: Multimedia and Design Software: 00000 0000000: 0000000: 01-Aug-2018: 000000000000000000 : 000: Business/Productivity Software: 000000000 000000: 0000 … Meituan-Dianping, a Chinese food-to-flights startup, is quietly increasing its exposure to India. Till date, Flipkart has raised $7.7 billion from multiple investors and talking about Chinese investors we have investors like Tencent Holdings and Steadview Capital who have invested an estimated $300 million in the company. Their technology platform helps small businesses to grow their business by discovering new buyers and sellers offering competitive prices for their products, providing access to capital, new markets, low-cost and reliable logistics and secure payment solutions. Tencent Holdings joined Naspers in a US$1 billion investment in Indian food delivery service Swiggy, which gains a potentially valuable ally in China’s largest social media and gaming company. Lists Featuring This Company . Zomato and Swiggy received around 0 million. Like most Indian unicorns, Ola has raised a lot of the funds from foreign investors to support its goals. Swiggy and Zomato are in talks with at least three new investors each to raise more capital, the people said. For the most part of their early days, Zomato’s growth was funded by Indian online giant Info Edge. 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That is a considerable investment considering that till date, Snapdeal has raised a total of $1.8 billion. Largest shareholders in Swiggy, Zomato. Read More. In February 2019, Swiggy acquired Bengaluru-based AI startup Kint.io. Also, China holds control over other widely used foreign apps in India, as per the report published in March 2020. Founded by an 18-year-old college drop-out Ritesh Agarwal in 2012, OYO started as Oravel Stays by adopting Airbnb’s concept but after Ritesh’s stint at Thiel Fellowship, he pivoted to aggregating budget hotels which had a bigger market opportunity in India leading to the birth of OYO in 2013. Even though Walmart owns 81% of Flipkart, there are still Chinese investors who own minority stakes in the company. Till date, OYO has raised $3.2 billion from its investors with Japan’s Softbank being its majority stakeholder with 48% ownership. Also read: Amid OYO’s mass layoffs, founder Ritesh Agarwal explains firings; FULL TEXT of letter to staff. Saif Partners made the highest return of Rs 438 crore. View company info, jobs, team members, culture, funding and more. Other investors included Harmony Partners, RB Investments etc. At the time, online shopping was not as common as it is now and in a sense, Flipkart’s growth from an online bookstore to a full-fledged e-commerce company is synonymous with the adoption of online shopping in India. Naspers had a maximum stake of 38.82 per cent. Swiggys top investors earn Rs 1660 crore by selling partial stakes Naspers top shareholder, Chennai start-up Agnikul inks agreement with Isro to help develop launch vehicle, Over 50 unicorn startups expected in India by 2022: Official, E-commerce order volume up 56% year-on-year this festive season: Unicommerce report, Sun Pharmaceutical Industries Share Price, This website follows the DNPA’s code of conduct. In order to grow at such a pace and compete with the likes of Flipkart and Amazon, Snapdeal had to raise a lot of funds. Comments from Swiggy, Saif, Bessemer, and Naspers, will be updated as and when received. Chinese investors have been a part of Swiggy’s journey since its early days. Nearly 70% of the new investment … Chinese internet giant Tencent has joined a queue of global investors eyeing shares in India’s online food ordering and delivery giant Swiggy. While Vijay is the man behind Paytm, he currently owns less than 20% of his own company. Other Chinese investors in Ola include China Eurasian Economic Cooperation Fund and Sailing Capital. Chinese tech giant Tencent Holdings said it will step up its investment overseas and in industries such as "smart retail", having already invested in more than 800 companies. Swiggy has over 1.6 lakh restaurant partners across over 500 cities and has a delivery fleet of more than 2.25 lakh active delivery partners. From Paytm, Flipkart to Swiggy, big Indian startups are stuffed with Chinese money Chinese companies are one of the biggest investors in India’s startup space. “Over the last financial year, these four key institutional investors have been steadily divesting a portion of their holdings in Swiggy to incoming investors during successive high-value financing rounds,” Vivek Durai, Founder, Paper.vc told Financial Express Online. However, Swiggy founders Sriharsha Majety, Nandan Reddy, and Rahul Jaimini made modest returns of Rs 7.1 crore each during FY19. However, this was not always the case for Snapdeal, like its competitors Flipkart and Amazon, Snapdeal was also caught up in the frenzy of gaining more market share and increasing its revenues by focusing on the gross merchandise value (GMV). As of 2019, Alibaba Group was still the largest stakeholder with 26.26% stake in the company. Click here to join our channel and stay updated with the latest Biz news and updates. Zomato may raise anywhere between $200 million and $400 million, the other two people said. Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Swiggy competes with Zomato was reportedly valued at $3 billion following its recent $150 million fundraise from Alibaba’s fintech arm Ant Financial. 2,930 Number of Organizations • $73.3B Total Funding Amount • 8,019 Number of Investors. While Flipkart was led by the Bansals for a decade, it was acquired by the American retail giant Walmart in 2018 for $16 billion, making it the biggest acquisition in the Indian startup ecosystem. Bengaluru: Online food delivery orders for Zomato and Swiggy have dropped 70% in the last 10 days to under 1 million a day, as customers step back and top restaurants shut shop amid a lockdown induced by the Covid-19 virus outbreak, said investors, companies and restaurants to ET. Today, Zomato is delivering food across more than 500 cities in India and its restaurant search and discovery business is present in over 10,000 cities across 24 countries, including India. Govt should amend rules accordingly. The first half of 2020 saw investors including SoftBank and Naspers leading large rounds of funding in unicorn companies even as OYO, Swiggy, Postman, … The data shared by business signals platform Paper.vc revealed that Saif Partners made the highest return of Rs 438 crore ($61 million) followed by Rs 401 crore ($56 million) earned by Norwest, $312.8 crore ($44 million) secured by Bessemer, and Rs 178.8 crore ($25 million) by Accel Partners by offloading parts of their stakes. Gurugram-based online food ordering and delivery platform Zomato's largest investor is Ant Financial, a subsidiary of China-based giant Alibaba, while Bengaluru-based online food ordering platform Swiggy's largest shareholder is South African e-commerce group Naspers (now called Prosus). We continue to be bullish on Swiggy’s long term prospects and believe the company continues to have significant potential to grow from here,” Niren Shah, MD and Head of India, Norwest Venture Partners India told Financial Express Online. Founded by Deepinder Goyal and Pankaj Chaddah in 2008, Zomato started as a search and discovery platform for restaurants in the Delhi-NCR region as Foodiebay. According to experts, this will have major impact on new investments by Chinese players in … A food delivery rider for Swiggy, operated by Bundl Technologies Pvt., sits on a motorcycle in Mumbai, India, on Monday, Feb. 3, 2020. Experience Swiggy's superfast delivery for food delivered fresh & on time Restaurants in your pocket Order from your favorite restaurants & track on the go, with the all-new Swiggy app.