Food and quick commerce giant Swiggy is moving closer to its goal of becoming an Indian-owned and controlled company (IOCC), but international brokerage Jefferies highlighted that the company may see passive outflows worth $400 million following the shift due to subsequent exclusion from MSCI and FTSE indices.
Swiggy’s shareholders this week gave their nod to proposals that will let the company achieve the status, approving a proposal to cap foreign shareholding in the company at 49.5%. The company can now approach the Reserve Bank of India to seek approval for a ceiling on its foreign ownership. This will subsequently allow the company to operate its quick-commerce business Instamart under an inventory model.
