Swiggy to review its stake in Rapido

Swiggy's losses nearly doubled in April-June despite a jump in revenue as Instamart continued to bleed cash

- Sowmya Ramasubramanian

On-demand convenience firm Swiggy on Thursday said it will re-evaluate its investment in ride-hailing startup Rapido, citing a potential conflict of interest in the future as the mobility venture recently entered the food delivery segment.

"Rapido is now the largest mobility player in India by rides, and has been a disruptor in its space. As a shareholder, we are extremely happy with their success and value-creation; but do acknowledge a potential conflict of interest that may arise in the future," Swiggy said in its letter to shareholders.

"Our ~12% minority stake has appreciated significantly since our investment (basis incoming interest) and we are actively re-evaluating our investment due to the above developments."