Food and grocery delivery major Swiggy is rejigging its organisational structure and will appoint new heads of finance for its different businesses, according to people familiar with the matter.
The move to divide its finance function comes at a time when Swiggy has expressed willingness to move to an inventory-led model for Instamart, its quick commerce vertical, in the coming months.
So far, Instamart has been similar to food delivery, the company’s core business, in following a marketplace model and hence both units operated in a comparable way. However, once it moves Instamart to an inventory-led model, the accounting procedures will change.
In a move away from the current arrangement, Swiggy will – over the coming months – create two roles and designate them as Vice Presidents (VP) of finance.
While one of the VPs will lead the finance charter at Instamart the other will oversee the finance function of the food delivery business, sources told Moneycontrol.
To be sure, these VP positions will be new and will likely report to Swiggy’s chief financial officer (CFO) Rahul Bothra.
Swiggy did not reply to Moneycontrol’s queries.
Like Blinkit, others
Once the move to a new model is completed, Swiggy’s organisational structure will be similar to that of its arch-rival Eternal-owned Blinkit.
In December last year, Moneycontrol was first to report that Blinkit has roped in former Flipkart executive Vipin Kapooria as its CFO.
Shortly after Blinkit appointed a new CFO for its own business, it announced moving to an inventory-led model which, it said, would result in better unit economics and overall financial health.
It is likely that Swiggy will also follow a similar approach. During its Q4FY25 earnings call, Swiggy’s CFO Bothra had said: “…we may also want to consider it (moving to an inventory-led model). But there is no plan in the near future, as I said, commercials also do not have a screaming reason for us to do it.”
However, his conviction around an inventory-led model strengthened three months later.
“...there could be a natural evolution that at some point in time in the future, we may consider our ability to also open up the inventory-led business model,” CFO Bothra told analysts while announcing the company’s Q1FY26 results.
Bothra’s conviction comes on the back of increased domestic ownership at Swiggy. While Swiggy’s domestic ownership was at around 13 percent prior to filing its draft red herring prospectus (DRHP) around September 2024, the company’s domestic ownership currently stands at around 40 percent.
To hold inventory, Swiggy needs to cap total foreign shareholding at 49.5 percent on a fully diluted basis, similar to what Eternal did earlier this year, clearing the way for the company to comply with foreign direct investment (FDI) norms and owning inventory in sectors like quick commerce, and becoming an Indian-owned and controlled company (IOCC).
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