I suppose that if you delete it, nothing happens, but it means that it will take much longer to generate and compile the project.
I usually use two development spaces on different computers and when I want to move an app I just copy build.gradle and src , everything else generates it.
Sometimes the file build.gradle has given me error, but I solve it with creating a blank project and I modify the values from the other one.
Edited
About what you ask about the fate of the%% of% if you want to upload the app to google play services you have to upload the app\build\outputs\apk that you get with signing the apk.
Generate Apk to upload to Google Play
To publish an App to release-aligned you must compile / build it in Google Play mode
In the lower left part of release there is a tab Android-studio open it and select Build variants
The apk must be signed and aligned, for this you must generate a file release
Menu keystore pulseas Build->Generate Signed Apk and fill the form.
Things to keep in mind:
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Alias: Put your name or corporation style:
Create New
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Password: the password to sign the apk.
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Validity years: I put 100
Then you can give the apps.tunombreo.corporacion.com once the explorer opens with the apk.
The one you have to upload is the one that contains Build
Things to keep in mind about the keystore
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With a single keystore, you can sign several apps.
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It is very important to save it permanently, in USB, in the cloud, in the safe etc ...
- In future updates of your APP, to re-sign, you need it.
Official Documentation App signing