India’s B2B commerce scene is consolidating: Udaan is taking over Lynk Logistics, the retail distribution arm of food delivery giant Swiggy, in a Rs 500 crore transaction that hands Swiggy a slice of its new owner.
Paperwork filed with the deal shows Swiggy receiving about 2.8% of Udaan through preference shares issued by Trustroot Internet, the parent company, plus a Rs 75 crore primary investment that buys another 0.4%. The exchange lets Swiggy trade a business it never quite scaled for equity in a platform already focused on the same retailers.
Lynk dates to 2015 and grew into an authorized distributor for FMCG brands spanning more than 100,000 retail stores across eight cities. Swiggy picked it up in July 2023 via a share swap of its own, an entry into retail B2B distribution that now comes full circle. Cities including Bengaluru, Hyderabad, Chennai and Kolkata produce roughly three-quarters of Lynk’s revenue.
Udaan’s timing looks deliberate. Through the ten quarters ending Q1 2026, revenue compounded at roughly 25% annually, contribution margin widened by around 500 basis points and EBITDA burn shrank close to 70%, with Bengaluru already EBITDA profitable. A recent $160M recapitalization from Lightspeed Venture Partners, M&G Investments and Moonstone Capital reset its balance sheet for the next phase of growth.
Both sides framed the handover in growth terms. Swiggy’s finance chief Rahul Bothra described a blend of Lynk’s strengths with Udaan’s scale and technology-led platform, and Udaan co-founder and CEO Vaibhav Gupta cast the deal as a way to deepen the company’s reach across the consumption markets that matter most to it.
