21 December, 2018
L&L Partners [L&L] advised Tencent in purchase of shares from certain existing investors as well as primary infusion of capital in Swiggy.
L&L Partners recently advised Tencent Holdings (“Tencent”) in its investment in Bundl Technologies Private Limited which owns and operates Swiggy (the food delivery app)- both in the form secondary purchase from existing shareholders as well as in the form of primary issuance. In the current round of funding Swiggy has raised a mammoth USD 1 Billion marking what is by far the biggest ever funding round in the country’s ever expanding food-tech sector.
The current transaction involved primary investment into Swiggy, through subscription of equity shares, by existing investor Nasper as well as entry of big ticket investors such as Tencent and hedge funds Hillhouse Capital and Wellington Management. Certain early round existing investors have also received partial or complete exits in the form of secondary share purchase. The new round will see the valuation of the five-year-old Bengaluru-based startup swell to $3.3 billion which makes it one of the largest start-ups in the country along with the likes of Paytm, Ola, Oyo and Byju’s.
The funds would reportedly be used to strengthen its existing technological backbone as well as address gaps in its supply through delivery-only kitchens under Access’ initiative for restaurant partners
The L&L team was led by Partner – Vaibhav Kakkar, ably assisted by Managing Associates – Snigdhaneel Satpathy & Sumithra Suresh; Senior Associate – Rishabh Shah and Associate – Tanaya Sanyal. They were assisted in the taxation aspects of the transaction by Partner Lokesh Shah and Managing Associate Mayank Agarwal. Latham Watkins were the international counsel acting on behalf of Tencent.
The Company was represented by Shardul Amarchand Mangaldas & Co.
