Reliance Retail Ventures Ltd on Thursday said it has led a $240 million investment in quick commerce startup Dunzo.

Reliance Retail will invest $200 million and acquire a 25.8 per cent equity stake in the Bangalore-based firm, which promises the delivery of groceries within 19 minutes in select cities.

The Mukesh Ambani-led firm added that it has also entered into a business partnership with Dunzo wherein the latter will enable hyperlocal logistics for the retail stores operated by Reliance Retail. Dunzo, it added, will also facilitate last-mile deliveries for JioMart’s merchant network.

This is Reliance group’s second investment in this segment after it acquired Milkbasket last year. Dunzo competes with Instamart, a Swiggy brand, and Blinkit, earlier known as Grofers.

Apart from Reliance Retail, Lightbox, Lightrock, 3L Capital, and Alteria Capital participated in the funding. Dunzo operates in Mumbai, Pune, Bangalore, New Delhi, Chennai, Hyderabad and Gurgaon.