24 Jul , 2026 By : Debdeep Gupta
Shares of Eternal and Swiggy declined by up to 4 percent on Friday after Walmart-owned Flipkart announced its plans to enter the food delivery business, weighing on investor sentiment.
At around 3 pm, shares of Eternal were trading at Rs 280 per share on the NSE, down 2.47 percent. Swiggy shares fell 3.77 percent to Rs 251.70.
The decline came after Flipkart said it will enter India's online food delivery market in the coming weeks, setting up competition with existing players, including Eternal-owned Zomato and Swiggy.
"We will launch food delivery in the next few weeks," Flipkart Group Chief Executive Officer Kalyan Krishnamurthy said in an interview
"Like everything else we do, we will launch food delivery first, test the value proposition with customers, take feedback and continue improving the product until it really appeals to the customer. After that, we'll start scaling it," he said.
Meanwhile, Swiggy's board approved a cap of 49.5 percent on aggregate foreign ownership on a fully diluted basis.
The proposed limit will cover foreign investors, including foreign-owned or controlled Indian entities, foreign portfolio investors (FPIs) and non-resident Indians (NRIs), excluding investments made through the non-repatriation route.
According to a UBS note on Swiggy, the 49.5 percent limit leaves limited headroom for additional foreign investors, while providing the company greater strategic and operational flexibility, as reported by NDTV Profit.
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