Last Updated:
Swiggy IPO Listing Date: Unlisted shares of Swiggy Ltd continue to trade at just Rs 1 higher in the grey market than, indicating a muted listing or discount listing.
Swiggy IPO Listing Date.
Swiggy IPO Allotment Status, GMP, Listing Date: The Swiggy IPO allotment has been finalised, and investors can check their allotment status online on the websites of BSE and NSE as well as on registrar Link Intime India’s portal. As the rival of Zomato is now all set for market debut on Wednesday, the IPO listing is expected to be subdued as its GMP remains at only 0.26 per cent.
According to market observers, the unlisted shares of Swiggy have trading at Rs 391 in the grey market for the past four days, which is only Re 1 higher than the IPO issue price of Rs 390. Even before that, the GMP was as low as five-six per cent.
The initial public offering, which was opened for public subscription between November 6 and November 8, received a 3.59 times subscription garnering bids for 57.53 crore shares as against the 16.01 crore shares on offer. The price band of the Swiggy IPO was fixed at Rs 371 and Rs 390 apiece.
The shares of Swiggy are scheduled to be listed on both BSE and NSE on November 13.
The allotment status can be checked online on the websites of BSE and NSE, as well as on the registrar Link Intime India’s portal.
Swiggy IPO GMP Today
According to market observers, unlisted shares of Swiggy Ltd continue to trade at just Rs 1 higher in the grey market than its issue price. The Rs 1 grey market premium or 0.26 per cent GMP means the grey market is expecting a muted listing or discount listing.
The GMP is based on market sentiments and keeps changing. ‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
“On October 29, the GMP stood at Rs 25 (6.4 per cent), but it has since dropped significantly to 0.26 per cent. This decline can be attributed to the recent correction in benchmark indices and the prevailing negative market sentiment. However, Swiggy’s CFO has noted that the October volatility was factored into their pricing strategy,” said Gaurav Garg, research analyst at Lemonn Markets Desk.
Generally, pure-play companies in the market are awarded a premium. Until now, Zomato was the sole listed player in the quick commerce and food delivery space. With Swiggy’s listing, this premium may diminish, potentially leading to an overall valuation correction across the industry, Garg added.
Prashanth Tapse, senior vice-president (research) and research analyst at Mehta Equities, “Despite being the second-largest e-commerce and food delivery player, Swiggy received a sluggish response from overall investors. While on a consolidated basis, the overall subscription figures look good, but Day-3 Qualified Institutional Buyers (QIB) investors supported Swingy ipo helping it to successfully sell out, which looks similar trend to Hyundai Motors IPO.”
The majority of the investors, especially NIIs and retail, stayed back on few reason like negative cash flow business model followed by concern on high competition and an ongoing negative market mood. Considering low subscription demand from NIIs and retail investors followed by market sentiments, there is a very high possibility of flat to negative listing in the range of +or – 5-10% on its issue price, he added.
“Post listing, for allotted investors, one should not expect any kind of listing gains. Hence, only risky investors should consider the company to HOLD FOR LONG TREM despite knowing short term volatility and competitive pressures in the sector. For non-allottees, we advise to wait and watch for the price to settle and revisit the space with better discounted opportunity,” Tapse said.
Swiggy IPO: How to Check Allotment Status?
Once the IPO allotment is finalised, the status can be checked by following these steps:
1) Go to the official BSE website via the URL — https://www.bseindia.com/investors/appli_check.aspx.
2) Under ‘Issue Type’, select ‘Equity’.
3) Under ‘Issue Name’, select ‘Swiggy Ltd’ in the dropbox.
4) Enter your application number, or the Permanent Account Number (PAN).
5) Then, click on the ‘I am not a robot’ to verify yourself and hit ‘Search’ option.
Your share application status will appear on your screen.
You can also visit direct Link Intime India Pvt Ltd’s portal — and check the Swiggy IPO allotment status.
Swiggy IPO: More Details
The Swiggy IPO is a combination of a fresh issue of shares worth Rs 4,500 crore and an offer for sale (OFS) of Rs 6,800 crore, they added.
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 B.V, Elevation Capital V Ltd, Inspired Elite Investments Ltd, MIH India Food Holdings B.V, Norwest Venture Partners VII-A Mauritius and Tencent Cloud Europe B.V.
Early investors like Accel, Elevation Capital and Norwest Ventures are making up to 35 times in returns on the portion they decided to sell. On the other hand, SoftBank continues to stay invested.
Big investors including Norway’s sovereign wealth fund Norges and Fidelity have placed bids worth more than $15 billion in the Swiggy IPO, 25 times the $605 million portion reserved for such investors, according to Reuters.
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 for expanding 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 licence 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 on March 31, 2023, and has more than 4,700 employees, according to Tracxn, a global startup data platform.
Swiggy’s confidential offer document was approved by Sebi in September and following this updated draft papers were filed.
