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According to a report, the company is planning to raise up to $1.35 billion (around Rs 11,700 crore) through this IPO.
Swiggy received SEBI approval for its IPO in September.
The food and grocery delivery giant Swiggy is likely to open its initial public offering (IPO) between November 6 and 8. The price band for the upcoming IPO has been set between Rs 371 and 390 per share. According to the report, the company is planning to raise up to $1.35 billion (around Rs 11,700 crore) through this IPO. Recently, Swiggy has reduced its IPO valuation target to $11.3 billion. This is 25 percent less than the initial target of $15 billion. Swiggy received SEBI approval for its IPO in September. The company had filed documents on April 30 through the confidential pre-filing route.
According to a media report published over the weekend, the IPO includes an upsized primary component of approximately Rs 4,500 crore and the offer for sale (OFS) component has also been tweaked depending on investor participation. According to the draft red herring prospectus (UDRHP), the company initially listed a fresh issue of equity shares worth Rs 3,750 crore along with an offer-for-sale (OFS) of up to 182.3 million equity shares.
If successful, the company will be placed among India’s largest IPOs, including the record-breaking Rs 27,856 crore ($3.3 billion) Hyundai Motor India IPO earlier this month. It is worth noticing that recent IPOs from giants like Hyundai, Paytm, and LIC have seen challenging debuts, which is likely to keep Swiggy investors cautious.
Swiggy, founded in 2014, currently partners with more than 2,00,000 restaurants across the country. Swiggy and its quick commerce platform Instamart mainly compete with companies like Zomato, Zomato’s Blinkit, Zepto and Tata-owned BigBasket. Swiggy’s main investors are Prosus (32 per cent), Softbank (8 per cent) and Accel (6 percent), while other shareholders include Elevation Capital, DST Global, Tencent, Qatar Investment Authority (QIA), GIC Singapore, etc.
In July 2021, Zomato launched its IPO with an issue size of Rs 9,375 crore and was oversubscribed more than 35 times.
