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Swiggy is set to launch its IPO on November 6, 2024, and plans to list at a valuation of $11.3 billion (nearly Rs 95,000 crore), says a report.
The Swiggy IPO will comprise a fresh issue of equity shares worth Rs 3,750 crore and an offer-for-sale (OFS) of 18.52 crore equity shares by existing shareholders.
Food and grocery delivery major Swiggy will launch its initial public offering (IPO) on November 6, 2024, Moneycontrol has reported citing multiple sources in the know. The report said the company plans to list at a valuation of $11.3 billion (nearly Rs 95,000 crore) for the upcoming IPO.
According to the report, the primary component of the Swiggy IPO has been upsized to around Rs 4500 crore and the offer for sale component has also been tweaked depending on investor participation.
Swiggy last month filed its updated draft papers with markets regulator Sebi to raise funds through its much-anticipated Rs 10,000-crore IPO. The updated draft filing comes after Swiggy’s confidential offer document was approved by Sebi earlier this week.
Swiggy IPO Size
The proposed IPO will comprise a fresh issue of equity shares worth Rs 3,750 crore and an offer-for-sale (OFS) of 18.52 crore equity shares by existing shareholders, according to the updated draft red herring prospectus (UDRHP).
Those selling shares in the OFS route are — Accel India IV (Mauritius) Ltd, Apoletto Asia Ltd, Alpha Wave Ventures, LP, Coatue PE Asia XI LLC, DST EuroAsia V BV, Elevation Capital V Ltd, Inspired Elite Investments Ltd, MIH India Food Holdings BV, Norwest Venture Partners VII-A Mauritius and Tencent Cloud Europe BV.
According to a PTI report citing sources, Swiggy plans to garner up to Rs 3,750 crore funds through fresh equity shares, in addition to an offer-for-sale component of up to Rs 6,664 crore.
Swiggy Pre-IPO
Swiggy is also looking to raise funds a pre-IPO round. If this occurs, the size of the fresh issue will be reduced accordingly. The company filed its offer document on April 30 through the confidential pre-filing route.
Under the confidential filing process, Sebi reviews confidential DRHP and provides comments on it. Thereafter, the company going public is required to file an update to the confidential DRHP (UDRHP-I) after incorporating the regulator’s comments. This UPDRHP-I is made available for public comments over 21 days.
Finally, after incorporating the changes due to public comments, the company is required to update the DRHP-II (UDRHP-II).
Swiggy IPO Opening Date
According to Moneycontrol, Swiggy is set to launch its IPO on November 6. It will be concluded on November 8. The anchor book portion is scheduled for November 5.
Swiggy IPO Price
The price band of the IPO has not been fixed yet. It is likely to be announced next week.
Swiggy IPO Proceeds Utility
Going by the IPO papers, proceeds from the fresh issue to the tune of Rs 137.41 crore will be used for debt payment of subsidiary Scootsy.
Additionally, Rs 982.40 crore will be invested in Scootsy to expand the Dark Store network in the Quick Commerce segment, with Rs 559.10 crore allocated for setting up Dark Stores and Rs 423.30 crore for lease or license payments.
The company will also invest Rs 586.20 crore in technology and cloud infrastructure, Rs 929.50 crore for brand marketing and business promotion, and funds will be allocated for inorganic growth and general corporate purposes.
Founded in 2014, Swiggy had a valuation of nearly USD 13 billion in April. The company’s annual revenue stood at USD 1.09 billion as of March 31, 2023, and has more than 4,700 employees, according to Tracxn, a global startup data platform.
In April, sources had previously stated that Swiggy received shareholders’ approval for an IPO to raise Rs 10,414 crore fund through the issue of fresh equity shares and an offer for sale.
A special resolution was passed at an extraordinary general meeting of Swiggy on April 23, they stated.
