Former Swiggy Executive Karthik Gurumurthy Secures $3 Million from Matrix for New Startup
- ByStartupStory | January 24, 2024
Karthik Gurumurthy, former head of Swiggy’s e-commerce unit (Mall), has successfully raised $3 million in funding for his new offline retail startup, as reported by Moneycontrol. The funding round is led by Matrix Partners India, with a $2 million investment, supplemented by contributions from a group of angel investors.
Gurumurthy’s latest venture, tentatively named Convenio, marks a departure from his previous role at Swiggy, aiming to delve into the offline retail space. The startup is set to focus on the fresh produce segment, akin to the low-cost physical store model employed by Aldi in Germany, the UK, and other parts of Europe.
In a recent LinkedIn update, Gurumurthy shared his mission, stating, “(I) have started my journey of solving fresh category retail in India – solving the consumer problem of providing good quality fresh fruits, vegetables, dairy, bakery, etc., at affordable prices.”
During his tenure at Swiggy, Gurumurthy played a pivotal role in the development of Swiggy Instamart, the company’s quick-commerce division specializing in groceries and other items.
Matrix Partners India, known for backing prominent startups like Ola Electric, Razorpay, and The Whole Truth, is making its second bet on a senior executive leaving a large startup to embark on a new entrepreneurial journey. The venture capital firm recently invested in Vivek Sinha’s upskilling startup, following his departure as the former chief operating officer of Unacademy.
The trend of seasoned executives transitioning to founders has been on the rise, with individuals like Swiggy’s former CTO Dale Vaz starting his fintech company and raising $7 million from Accel and Elevation.
VC firms recognize the advantage of supporting senior executives turned founders, acknowledging their expertise in building businesses and attracting top talent, which facilitates smoother transitions into entrepreneurship.
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