Info Edge (India) Ltd has undertaken a strategic portfolio reshuffle by exiting Shopkirana through a share swap deal with Trustroot Internet Pvt Ltd, while committing ₹250 crore to a deeptech-focused investment vehicle, A88 Fund I. The move reflects the company’s evolving focus on next-generation technologies.
Swap Deal Strengthens Udaan Exposure
As part of the transaction, Info Edge has transferred its entire 26.14% stake in Shopkirana to Trustroot, the parent of Udaan. Instead of a cash exit, the deal has been structured as a share swap, allowing Info Edge to receive preference shares in Trustroot.
This translates into a small stake of just over 2% in Udaan’s parent entity, ensuring continued indirect exposure to the B2B commerce ecosystem. The company has also infused additional capital into Trustroot, signalling confidence in Udaan’s long-term growth.
With this exit, Shopkirana will no longer remain an associate company of Info Edge. The deal also supports Udaan’s strategy to consolidate its presence in the kirana and FMCG supply chain by integrating Shopkirana’s operations and network.
₹250 Crore Commitment to Deeptech Fund
Alongside the exit, Info Edge’s board has approved an investment of up to ₹250 crore in A88 Fund I, a Category II Alternative Investment Fund managed by its subsidiary Smartweb Internet Services.
The fund will focus on early-stage startups in deeptech segments such as artificial intelligence and machine learning. This aligns with the company’s aim to back scalable, innovation-driven ventures that can deliver long-term value.
Strategic Shift in Investment Approach
Info Edge’s dual move highlights a clear shift away from capital-intensive sectors like B2B retail towards high-impact technology investments. The company, known for backing Zomato and Policybazaar, is now sharpening its focus on future-ready sectors.
This development mirrors a broader trend in India’s startup ecosystem, where investors are increasingly favouring deeptech and AI-led innovation. For Info Edge, the transition signals a long-term strategy to stay relevant in a rapidly evolving digital economy while unlocking new growth opportunities.