Swiggy board approves slump sale of Instamart unit to wholly owned subsidiary

Swiggy Ltd said on Tuesday its board approved the sale and transfer of its quick-commerce business Instamart to an indirect step-down wholly owned subsidiary, Swiggy Instamart Pvt Ltd, through a slump sale.

The deal, which includes Instamart’s assets, liabilities, employees, intellectual property and contracts, will be executed as a going concern and is subject to shareholder approval, the company said in a regulatory filing.

Revenue from Instamart contributed 24.2% of Swiggy’s standalone revenue in fiscal 2025, while its net worth stood at a negative 2.48% as of March 31.

The company will receive a lump-sum cash consideration based on the book value of assets and liabilities as on the effective date, which is expected after the third quarter of FY26.

“The proposed transfer is aimed at developing a focused, efficient, and strategically aligned corporate entity for the long-term development and performance of the Instamart business along with enhanced flexibility in deployment of resources,” Swiggy said.

There will be no change in the company’s shareholding pattern following the transaction, it added.

Shares of Swiggy ended at ₹449.15 today on the BSE, largely unchanged. The stock has gained 28% in the last six months.