Udaan to Acquire Swiggy-Owned LYNK Logistics for ₹500 Cr

B2B ecommerce platform Udaan has agreed to acquire Swiggy-owned LYNK Logistics in a

transaction valued at ₹500 crore, strengthening its presence across India’s retail distribution

market. The deal will be settled through preference shares issued by Udaan parent Trustroot

Internet, giving Swiggy an approximately 2.8% stake in Udaan.

Swiggy will separately invest another ₹75 crore in Udaan through primary equity, taking its

overall holding to roughly 3.2%. The structure effectively allows Swiggy to exit direct ownership

of LYNK while retaining exposure to the B2B commerce opportunity through a minority stake in

Udaan. The transaction remains subject to customary closing conditions and regulatory

approvals.

LYNK brings a sizeable distribution network to the combined business. Founded in 2015, the

company works with leading FMCG brands and has built a network of more than 1 lakh retail

stores across eight cities. Bengaluru, Hyderabad, Chennai and Kolkata together contribute

around 75% of LYNK’s revenue, giving Udaan greater depth across several important

consumption markets.

The acquisition comes as Udaan works to improve its operating economics. Between Q4 CY23

and Q1 CY26, the company says revenue grew at roughly a 25% CAGR, contribution margins

improved by nearly 500 basis points and EBITDA burn fell around 70%. Bengaluru, its largest

market, has also reached EBITDA profitability, while private labels now contribute 15–25% of

Staples sales across operating cities.

Udaan recently completed a $160 million recapitalisation involving equity, debt and

debt-to-equity conversion, strengthening its balance sheet as it works toward profitable growth

and eventual public-market readiness. Adding LYNK gives Udaan more retailer relationships,

consumer-brand partnerships and distribution infrastructure — while giving Swiggy a 3.2%

economic interest in the larger B2B platform instead of running the business independently.