Amazon Eyes Stake In Swiggy's Instamart Amid IPO Buzz: Reports

According to media reports, Amazon India is exploring a potential deal with Swiggy to acquire its quick commerce business, Instamart. 

This move comes as Swiggy prepares to launch its IPO, having submitted draft papers to SEBI for a public offering of approximately USD 1.25 billion (Rs 10,414 crore).

Media sources indicate that Amazon may either buy a stake in the upcoming IPO or acquire shares in Instamart. However, both options are reported to be challenging due to Swiggy's high valuation of USD 10-12 billion (around Rs 1 lakh crore). Swiggy, valued at over Rs 1 lakh crore, reportedly wants to sell only its quick commerce business, while Amazon is not interested in the food delivery segment.

According to media reports, Swiggy's main competitor, Zomato, has not separately evaluated its quick commerce vertical, Blinkit, which Goldman Sachs recently valued at around USD 13 billion (about Rs 1.06 lakh crore). Meanwhile, Amazon faces competition from other players in the quick commerce sector, including Mumbai-based Zepto and Flipkart, the latter of which is launching Flipkart Minutes with significant backing from Walmart.

As the situation develops, no official statements have been issued by Amazon or Swiggy regarding the potential deal.