India’s business-to-business retail sector is seeing further consolidation after eB2B platform Udaan agreed to acquire Lynk Logistics, the technology-driven retail distribution business owned by food delivery and grocery company Swiggy, in a transaction valued at ₹500 crore.
The deal, announced on 7 September, will bring Lynk’s distribution capabilities, brand relationships and retailer network into Udaan’s growing B2B commerce platform. The transaction is structured as a share swap rather than a conventional cash acquisition, with Swiggy receiving an equity interest in Udaan’s parent company, Trustroot Internet Private Limited.
Under the agreement, Swiggy will receive approximately a 2.8% stake in Udaan through the issue of preference shares. Swiggy will also invest a further ₹75 crore in Udaan, giving it an additional 0.4% interest and taking its total stake to around 3.2%.
For Swiggy, the transaction provides a route out of its retail distribution operation while allowing the company to retain exposure to the B2B commerce market through its minority investment in Udaan. Swiggy acquired Lynk in 2023 as part of its strategy to build a technology-led retail distribution network serving retailers and consumer-goods companies.
Lynk generated revenue of around ₹668 crore during financial year 2026, making the business a significant addition to Udaan’s distribution operations. Its activities are particularly concentrated in major Indian consumption markets, with Bengaluru, Hyderabad, Chennai and Kolkata together accounting for about 75% of Lynk’s revenue.
The acquisition also strengthens Udaan’s position in the fast-growing FMCG distribution market. The company already operates an extensive B2B platform connecting brands, distributors and retailers, while private-label products account for between 15% and 25% of its Staples sales in the cities where it operates. Bengaluru, its largest market, has also reached EBITDA profitability.
The deal follows Udaan’s recent $160 million recapitalisation, involving new equity, debt and debt-to-equity conversion. The company has been improving its financial performance and has indicated that it is working towards sustainable profitability and longer-term public-market readiness.
For the wider grocery and FMCG sector, the acquisition highlights the increasing importance of efficient B2B distribution as retailers seek faster access to branded and private-label products. Combining Lynk’s retail relationships and distribution infrastructure with Udaan’s existing technology platform could give the enlarged business greater scale across some of India’s largest consumer markets.
The transaction remains subject to customary closing conditions and applicable regulatory approvals. Completion is expected later in 2026.