Blinkit, the quick commerce unicorn, has secured $100 million in a fresh funding round led by Zomato, the food delivery behemoth.

Albinder Dhindsa, cofounder of Blinkit, said in an internal message to Blinkit staff that the firm will focus on expansion and enhance its speed of execution while minimising its burn rate as much as feasible.

According to Dhindsa's message, "We have closed our next fundraise ($100 million) and will have money coming into the bank over the next week. We have come a long way in the last eight."

This round is part of a larger round from Zomato that Blinkit will be raising. The round is estimated to be worth roughly $400 million, according to reports.

Zomato plans to invest $400 million in the rapid commerce category in February.
Grofers changed to Blinkit after Zomato invested $100 million in the firm in August 2021. Zomato stated that with $1.7 billion in cash on hand, it will try to capitalise on Blinkit's recent rise as rapid commerce takes centre stage.

Blinkit switched to Q-commerce in August, guaranteeing delivery in 10 minutes.

However, Zomato does not presently incorporate Blinkit's service into its app, whereas Swiggy combines Instamart and food delivery into one app.

Zomato had a grocery delivery vertical in its app until last year, but it has since deleted it and invested in Blinkit instead.

To boost its rapid commerce aspirations, the corporation has hired 30,000 people on the ground and created 450 new warehouses and dark storefronts. To streamline operations, the corporation has made difficult decisions, such as closing 40 of its warehouses.

According to the report, India's Quick Commerce (Q-Commerce) market is predicted to reach $5 billion by 2025.

Blinkit competes against Swiggy, Instamart, Dunzo, and others in this segment. In the e-grocery space, Blinkit competes with BigBasket, which is supported by Tata Digital.