Swiggy shareholders back move for Indian-owned status

Business Recorder reported that shareholders of Swiggy, the Indian food and grocery delivery company, approved a 49.5 per cent cap on total overseas holdings. The vote paves the way for the firm to be recognised as an Indian-owned and controlled company, or IOCC. Investors had rejected a similar resolution in May.

Under India's foreign investment framework, a company qualifies as an IOCC when domestic entities or resident individuals hold more than half of its beneficial ownership. Resident Indians must also keep control, including the power to name a majority of directors or to take key policy decisions. As of July 6, foreign investors held 49.76 per cent of Swiggy on a fully diluted footing, leaving domestic investors with 50.24 per cent.

Data compiled by LSEG lists Prosus, SoftBank, Tencent and Accel among Swiggy's foreign backers. Domestic investors named in the same data include SBI Mutual Fund, ICICI Prudential Asset Management and HDFC Mutual Fund.