Swiggy IPO to Launch on November 6: Price Band Set at ₹372-₹390 with Target Valuation of ₹87,299 Crore

Swiggy’s IPO is set to launch on November 6, 2024, with subscriptions open through November 8. The company has set a price band of ₹372 to ₹390 per share, targeting a total raise of ₹11,327 crore. This book-built IPO combines a fresh issue of 11.54 crore shares worth ₹4,499 crore and an offer for sale of 17.51 crore shares totaling ₹6,828.43 crore, giving Swiggy an anticipated market capitalization of around ₹87,299 crore. Allotment of shares is expected to finalize by November 11, with a listing date scheduled for November 13 on both NSE and BSE.

The latest grey market premium (GMP) for Swiggy’s IPO stands at ₹14, down from previous levels of ₹25-30, setting an estimated listing price near ₹404 and a projected listing gain of 3.59%. Retail investors can place bids for a minimum of 38 shares, requiring an investment of at least ₹14,820. For small non-institutional investors (sNII), the minimum lot size is 14 (532 shares, ₹2,07,480), and for big non-institutional investors (bNII), it’s 68 lots (2,584 shares, ₹10,07,760).

Swiggy will use ₹1,343.5 crore from the IPO proceeds to fund its subsidiary, Scootsy, and allocate ₹703.4 crore towards technology and cloud infrastructure. Another ₹1,115.3 crore will go to brand marketing and promotion, with the remainder earmarked for corporate and strategic growth initiatives. The company’s main stakeholders include MIH India Food Holdings with a 30.93% stake, SoftBank’s SVF II SONGBIRD holding 7.75%, Accel India at 4.71%, and Tencent Cloud with 3.64%. Co-founders Sriharsha Majety and Lakshmi Nandan Reddy own 5.36% and 1.75%, respectively.

Swiggy, founded in 2014, has grown to become one of India’s largest on-demand convenience platforms. Its food delivery service collaborates with nearly 200,000 restaurants across over 600 cities, while Swiggy Instamart, a quick-commerce platform, offers 10-minute grocery delivery in 43 cities.

Disclaimer: Investing in IPOs involves market risks. Please review all financial data, consult with a certified financial advisor, and carefully consider investment objectives and risk tolerance before investing. Past performance is not indicative of future results.


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