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Food delivery and quick-commerce platform Swiggy Limited on Friday said its board of directors has approved raising up to Rs 10,000 crore through a Qualified Institutional Placement (QIP) or other permissible modes, subject to necessary shareholder and regulatory approvals.

In a regulatory filing, the company stated that the fundraise could be done in one or more tranches through public or private offerings, including equity shares or other eligible securities.

The move aims to strengthen Swiggy’s balance sheet and provide additional flexibility to fund future growth plans amid intensifying competition in the online food delivery and quick-commerce segments.

This comes a day after Swiggy reported a widening consolidated net loss of Rs 1,092 crore for Q2 FY26, compared with a loss of Rs 626 crore in the same period last year.

The loss was driven primarily by continued pressure in its Instamart quick-commerce business and higher marketing expenses.

Despite the losses, Swiggy’s revenue from operations surged 54% year-on-year to Rs 5,561 crore, compared to Rs 3,601 crore a year ago, reflecting strong demand recovery across categories. Total expenses rose to Rs 6,711 crore from Rs 4,309 crore in the same period last year.

The company’s quick-commerce arm, Instamart, reported a loss of Rs 849 crore during the quarter but achieved robust growth in order volumes and average ticket size.

Its Gross Order Value (GOV) jumped 108% year-on-year, reaching Rs 7,022 crore, while the average order value increased nearly 40% to Rs 697. Swiggy also added 40 new dark stores, taking the total to 1,102 across 128 cities.

In its shareholder letter, Swiggy said that while the food delivery segment remains highly competitive, it continues to grow steadily with 18.8% YoY GOV growth, supported by platform fee hikes and strategic adjustments in its Swiggy One subscription model.

During the quarter, the company also completed strategic moves to streamline its business, including the transfer of the Instamart vertical into a newly incorporated subsidiary, Swiggy Instamart Private Limited, and the divestment of its Rs 2,399 crore stake in Rapido.

Bernstein maintains an Outperform rating on Swiggy with a target price of Rs 570. The brokerage believes Swiggy is well-positioned to replicate its food delivery success in the Quick Commerce market.

While competition in Quick Commerce is expected to remain intense, Swiggy’s food delivery business continues to be the cash generator, and its growth opportunities in adjacent areas like going out and B2B services are key to capturing more of the customer wallet.

Anubhav Maurya is a Senior Sub-Editor at Zee Business, focusing on the stock market, personal finance, corporate news, and related sectors.

He has previously worked wi