Synopsis
The resolution sought to amend Swiggy’s articles of association as part of a broader push to become an Indian Owned and Controlled Company (IOCC). It failed to secure the required 75% supermajority from shareholders, falling short by a slim margin at the meeting on May 21. Becoming an IOCC will allow Swiggy to operate its quick commerce business on an inventory model. Currently, in accordance with the foreign investment rules, it runs as a marketplace of sellers.Listen to this article in summarized format
“On balance, it (the amendment) actually gives more than it takes,” he said in his first interview since the setback. “As part of the overall amendment, some permanent nomination rights are also being removed, and any additions would be subject to approval by the NRC (nomination and remuneration committee), the board, and shareholders. So we don’t see this as a governance issue at all.”
Majety said Swiggy plans to put the plan to vote again soon.
The resolution sought to amend Swiggy’s articles of association as part of a broader push to become an Indian Owned and Controlled Company (IOCC). It failed to secure the required 75% supermajority from shareholders, falling short by a slim margin at the meeting on May 21. Becoming an IOCC will allow Swiggy to operate its quick commerce business on an inventory model. Currently, in accordance with the foreign investment rules, it runs as a marketplace of sellers.
