The shares of Swiggy and Zomato-parent Eternal extended losses on June 10, amid buzz around ride-hailing platform Rapido's possible entry into the food delivery business with significantly lower commission charges.

Swiggy shares dropped over 2 percent to trade at Rs 356 apiece, while those of Eternal fell over 1 percent to hover around Rs 254 apiece.

The two stocks tumbled after multiple reports claimed that Rapido has begun onboarding restaurants for the pilot good delivery project in Bengaluru, and is offering a flat commission charge of Rs 25 on all orders below Rs 400, and Rs 50 for orders worth more than Rs 400. This implies a commission in the range of 8-15 percent, significantly lower than the 15-30 percent commission charged by Swiggy and Zomato.

Rapido has further asked its partner restaurants to offer items worth as low as Rs 150, with discounts being limited to only those being agreed upon with the restaurants, one report said citing sources.

Food delivery giants Swiggy and Zomato may face a valuation cut to the tune of 20 percent if Rapido manages to execute well after entering the segment, according to Karan Taurani, Executive Vice President at Elara Capital.

"Since the last three-four years, Zomato and Swiggy have maintained a duopoly over the segment. So the entry of a new player does come as a surprise," Karan Taurani told CNBC-TV18. He noted that Rapido has a logistical advantage over the other players due to its already existing fleet of nearly four million scooter riders all across the country.

While noting that Rapido has chances to succeed in the segment, Taurani noted that execution is key. "Unless the consumer experience is not as enhanced like Swiggy and Zomato, you will not see Rapido scaling up," he said during the media interaction.

When asked if Zomato and Swiggy may face a risk from Rapido's lower commission model for restaurants, Taurani said that the risk may emerge only if Rapido executes well. "We can't say that things are going to be worse for Zomato and Swiggy right now, because it is very early days to call them out. We will have to monitor what is the kind of customer traffic Rapido is generating, how many orders they are able to deliver, how many riders do they have, how they are improving their customer experience and more," he said.

Notably, Rapido's possible entry into the segment comes at a time when customers and restaurants are increasingly complaining against high delivery and commission fees charged by both the food delivery giants who currently hold a duopoly over the market.

Meanwhile, Zomato is asking restaurants to pay the platform an additional 'long distance fee' on orders that are delivered beyond 4 kilometres. In its latest communication, a copy of which Moneycontrol has reviewed, restaurants will have to pay Zomato an additional Rs 20 per order in long distance fee if the delivery location is 4-6 kilometres away from the restaurant or cloud kitchen and if the order value is above Rs 150.

If the delivery location is more than 6 kilometres away, the fee is doubled, and restaurants will be required to pay Zomato Rs 40 per order for the same order value.

For smaller orders, that fall in the Rs 0-150 price bracket, restaurants will not have to pay any additional charges if the food is delivered within 6 kilometres.

However, if these small orders are delivered beyond 6 kilometres, Zomato will collect Rs 40 per order from the restaurant, Moneycontrol has learnt.

Additionally, Maharashtra Food and Drug Administration (FDA) has reportedly ordered a Blinkit-affiliated dark store in Pune to cease food-related operations after discovering that it was operating without a mandatory food safety license.