In an exchange filing, the food and grocery delivery company said its resolution on the Amendment of Articles of Association received 72.36% votes of shareholders, falling short of the required threshold by 2.65%.
The company had conducted the postal ballot through a remote e-voting process, seeking approval of the shareholders for the alteration of the Articles of Association of the company and the Appointment of Renan De Castro Alves Pinto as a Non-Executive, Non-Independent Nominee Director.
The appointment, however, was duly passed by the members with a majority vote of 98.98 per cent, the filing stated.
The company had said in a filing last week that it has proposed changes to its board framework to become an IOCC under India’s foreign exchange laws as part of a broader rejig.
Under current Foreign Exchange Management Act (FEMA) rules, a company can qualify as an IOCC only if both ownership and control rest with resident Indian citizens or eligible Indian entities, including through a board composition and nomination framework supporting domestic control.
As of September last year, foreign investors held just under 60% of its shares.
The IOCC status would allow Swiggy’s quick commerce arm, Instamart, to operate with fewer restrictions under India’s FDI policies, which limit internationally funded ecommerce platforms from holding their own inventory.
Rival Eternal’s board approved the proposal to cap foreign ownership in the firm at 49.5% in April 2025. This majorly pushed up its financials, as the company moved from recognising only commissions to recording the full value of sales.
Eternal’s March quarter operating revenue grew threefold year-on-year to Rs 17,292 crore, while net profit rose 4.5 times to Rs 174 crore.
Swiggy, by contrast, reported a 45% year-on-year rise in operating revenue for the March quarter at Rs 6,383 crore, while narrowing its net loss by 26% on reduced cash burn and a one-time exceptional income.