Swiggy Gets The IOCC Tag, Shiprocket’s Return Roulette & More

Swiggy Instamart All Set For Inventory Model

Swiggy is finally an Indian-owned and controlled company (IOCC). After a failed attempt earlier this year, the foodtech major has secured shareholder nod to cap its foreign ownership at 49.5% and amend its AoAs. This has cleared the way for a major shift in Instamart’s business model. 

Shareholders Back The Shift: More than 99.9% of Swiggy’s shareholders voted in favour of the two proposals at the company’s 13th annual general meeting. These changes are aimed at helping Swiggy qualify as an IOCC under the FEMA, giving the foodtech major greater flexibility in structuring and operating its businesses.

Flexibility For Instamart: Under the new structure, Instamart can adopt an inventory-led model, procuring products directly from brands. This could enable the quick commerce platform to exercise greater control over product assortment, pricing, inventory availability and fulfilment. The pivot may also help the company improve gross margins by negotiating directly with brands and prioritising higher-demand products.

The Allied Risks: However, an inventory-led model would also bring new operational responsibilities. Swiggy would have to manage procurement, working capital, stock risk and potential wastage, making execution just as important as regulatory approval.

The Cash Burn Problem: With inventory pivot, Swiggy could be looking to rein in Instamart’s high cash burn and heavy losses, which stood at ₹651 Cr in Q1 FY27. As quick commerce continues to be capital-intensive and competition remains intense, reducing Instamart’s losses has become central to Swiggy’s path towards profitability.

While the new structure may provide more levers, it may now guarantee better economics. With the jury out on whether Instamart can effectively leverage the inventory pivot to reduce cash burn, here is all about Swiggy finally clinching the IOCC tag…

From The Editor’s Desk

Colgate Turns To Bombay Shaving Co.

• The FMCG giant has partnered with the D2C startup to manage Palmolive’s advertising and customer relationships across D2C and ecommerce channels. Colgate aims to revive the personal care brand, which its management has described as a weak spot.
• The tie-up gives Palmolive access to a brand that has built its business around digital first acquisition, online merchandising and ecommerce distribution. These are the capabilities that Colgate seems to be looking to strengthen Palmolive.
• With this, Palmolive is looking to carve a niche in the fast-growing D2C market, which is projected to become a $310 Bn opportunity by 2031.

Shiprocket’s Return Roulette

• Earlier this week, Shiprocket’s public issue closed with an oversubscription of 99.38X, attracting bids for 938.53 Cr shares against 9.44 Cr shares on offer. Shares of the startup are scheduled to list on the exchanges later today.
• The IPO has produced sharply different outcomes for selling shareholders. Early backer 500 Global sold its entire holding for ₹16.3 Cr, translating into a gross 77.6X return. However, Lightrock and Moore Ventures exited their entire stake at 0.7X multiple each.
• The returns put the spotlight on entry price and timing. Investors that entered at very low acquisition costs captured healthy multiples, while those who invested at later faced flat or negative outcomes.

upGrad’s FY26 Show

• The edtech unicorn managed to trim its net losses by 52% YoY to ₹130 Cr in FY26 on the back of improved margins, cost rationalisation and gross revenue jumping 7% YoY to ₹2,070 Cr during the fiscal year. 
• upGrad’s total expenses declined 8% YoY to ₹1,942.6 Cr in FY26, while Ind AS EBITDA improved over eightfold YoY to ₹123 Cr. The edtech unicorn also attributed the FY26 improvement to AI-led efficiencies, declining marketing costs and growing users.
• On the operational front, upGrad said it catered to more than 1 Lakh concurrent learners, while its B2B upskilling arm worked with 700+ companies. Going forward, it plans to focus on organic and inorganic growth across India and other global markets. 

NeoGeo Bags $20 Mn

• The geotech startup has raised around ₹191 Cr in its Series A round co-led by Neev II Fund and Aavishkaar Capital to deepen its product portfolio, invest in R&D and technical capabilities, strengthen its team and expand operations globally.
• Founded in 2019, NeoGeo provides geospatial intelligence solutions to government and corporate clients. It claims to have so far executed more than 200 projects, mapped over 5 Lakh square kilometres and manages more than 550 CORS.
• The fundraise comes as India looks to expand the role of geospatial data in governance, infrastructure development, disaster management, and climate-resilience planning.

Dunzo Cofounder’s Latest Stint

• Healthtech startup Superhealth has appointed ex-Dunzo cofounder Dalvir Singh Suri as its head of operations. In his new role, he will build the teams and operating processes needed to replicate Superhealth’s care model at its upcoming hospitals. 
• An alumnus of Mumbai University, Suri spent more than eight years at hyperlocal delivery startup Dunzo, where he helped build and scale its operations. 
• Founded in 2024, Superhealth operates a multispeciality hospital built around fixed pricing, full-time salaried doctors and digitally managed clinical workflows. While it currently operates just one hospital, it plans to expand the number to 100 by 2033.

Inc42 Markets

Inc42 Startup Spotlight

Inside Pulse’s Bet To Make Medical Equipments In India

India’s hospitals remain dependent on imported medical devices that can be costly, difficult to service and poorly adapted to local needs. Pulse is trying to build a domestic alternative by combining MSME manufacturing with product design under a single medtech brand.

Going Asset-Light: Founded in 2025, Pulse designs, sources and supplies medical devices and consumables. Instead of owning a large manufacturing base, it provides engineering, product standardisation, certifications, regulatory compliance and service infrastructure to small businesses. This enables these SMEs to build medical equipment that can compete with global manufacturers. 

The Essential Approach: Pulse is initially targeting low- and mid-complexity devices across critical care, renal care and cardiac care. The company is also focusing on mid-tier hospitals, particularly facilities with 50-200 beds, where reliable equipment at accessible prices can have a direct impact on healthcare delivery. 

The Quality Layer: The startup currently works with nearly 20 MSME partners across Delhi NCR, Gujarat, Kolkata and Mumbai. It is also establishing an R&D hub at the Andhra Pradesh MedTech Zone in Visakhapatnam. Going forward, the 3one4 Capital-backed startup plans to scale product development and distribution. 

As hospitals seek affordable and dependable alternatives to imported equipment, can Pulse turn India into a medtech manufacturing hub?

Infographic Of The Day

From personalised hampers and corporate gifting to flowers, cakes and design-led experiences, India’s gifting market is becoming a $406.5 Mn opportunity with new-age brands changing how we celebrate, surprise and say “thank you”…

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