Gurgaon-based Zomato has injected ₹500 crore into Blinkit, its quick commerce division, according to a recent filing with the Registrar of Companies (RoC).
This latest investment brings Zomato’s total spend on Blinkit to ₹2,800 crore since acquiring the company in August 2022. The infusion comes shortly after Zomato raised ₹8,500 crore through a qualified institutional placement (QIP) in November to strengthen its finances as competition heats up in the industry.
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Blinkit faces stiff competition from players like Swiggy’s Instamart and Zepto, both of which are vying for dominance in the rapid delivery market. In response, Blinkit is doubling down on expansion, with a goal of launching 1,000 dark stores by March 2025. The company is also entering the race to deliver meals in under 10 minutes through its new venture, Bistro, which will compete with Swiggy’s Snacc app and Zepto’s recently launched Cafe platform.
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The quick commerce battlefield is getting more crowded, with big names like Walmart (Flipkart Minutes), Tata (BigBasket), and Amazon (Tez) all pivoting to meet shifting customer demands. However, the path forward is far from smooth. On January 6, brokerage firm Jefferies downgraded its outlook on Zomato, pointing to profitability challenges in Blinkit despite its current market leadership.