Swiggy, the popular online food delivery platform, has announced its acquisition of retail distribution company Lynk Logistics Limited as part of its strategic move to enter the retail market. The deal, which was completed for an undisclosed amount, will see Lynk continue to operate as an independent business under the leadership of its Co-founder and CEO, Shekhar Bhende.
The acquisition of Lynk will enable Swiggy to establish a foothold in the massive retail market by leveraging the company’s technology-led distribution platform. Lynk, founded in 2015 by Abinav Raja and Shekhar Bhende, is widely regarded as one of India’s largest tech-driven FMCG retail distribution companies.
According to Sriharsha Majety, the CEO of Swiggy, Lynk’s unique brand-focused and tech-led operating model has positioned the company well in the retail distribution space. He stated, Our experience in supply chain and logistics gives Swiggy the unique opportunity to help Lynk scale up their offerings and empower retailers to serve their customers better.
Lynk currently boasts a network of over 100,000 retail stores across eight major cities in India. The company has demonstrated significant growth, achieving a 2.5 times year-on-year increase in size while improving its profitability.
With its proprietary, integrated technology platform, Lynk manages the entire retail distribution value chain, handling areas such as warehousing, inventory management, and logistics operations. By acquiring Lynk, Swiggy aims to enhance and expand its offerings within the retail industry.
Shekhar Bhende, CEO of Lynk, expressed his enthusiasm for the partnership with Swiggy, stating, With Swiggy, we now hope to further accelerate our growth and double down on the tremendous opportunity before us.
The collaboration between Swiggy and Lynk marks an exciting development in India’s retail and food industry. As Swiggy continues to dominate the online food delivery space, this new venture into the retail market is expected to strengthen the company’s position even further. The acquisition will provide Swiggy with a competitive edge and enable it to tap into the vast potential of the retail sector in India.
By combining Swiggy’s expertise in supply chain and logistics with Lynk’s tech-driven distribution capabilities, the two companies aim to revolutionize the way retailers serve their customers. The partnership is a strategic move that capitalizes on the increasing demand for efficient and reliable retail distribution channels.
In conclusion, Swiggy’s acquisition of Lynk Logistics Limited reflects the company’s determination to expand its presence beyond the online food delivery sector and enter the lucrative retail market. The collaboration between these two major players in the industry is set to drive innovation and transform the retail distribution landscape in India.
