Swiggy has taken another important step towards changing how its quick commerce business operates. Shareholders have approved a proposal to cap the company’s total foreign ownership at 49.5%, clearing a major hurdle in its move towards becoming an Indian-owned and controlled company.
The proposal received overwhelming support at Swiggy’s annual general meeting, with more than 99.9% of shareholders voting in favour. It marks a turnaround from May, when a similar proposal failed after getting around 72% of the vote, falling short of the 75% required for a special resolution.
The change matters most for Instamart. At present, Swiggy’s quick commerce arm largely operates as a marketplace connecting sellers with customers. Once the company completes its transition, Instamart could move towards an inventory-led model, allowing it to directly purchase and own products before selling them to customers.
That could give Swiggy greater control over inventory and potentially change the economics of the business. Instead of mainly earning commissions from sellers, an inventory-led structure could also allow Instamart to recognise the full value of products sold as revenue. Rival Eternal has already followed a similar route with Blinkit after its foreign ownership fell below 50%.
The move comes as Swiggy continues trying to bring down losses in quick commerce. Instamart posted a net loss of ₹651 crore in the first quarter of FY27, while Swiggy’s consolidated loss stood at ₹791 crore. With foreign ownership now being capped and Instamart potentially getting more flexibility over how it operates, the change could become an important part of Swiggy’s push to improve the economics of its quick commerce business.
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