 "Wait Over! Swiggy IPO to open post Diwali: Key details for investors")
Swiggy IPO: India's primary markets boom is set to continue as online food delivery giant Swiggy is poised to launch its highly anticipated initial public offering (IPO) immediately after Diwali. This year has seen 66 mainboard listings, including Hyundai Motor India's IPO, which made history as the largest-ever offering in Indian markets, while Waaree Energies shattered records with an unprecedented number of applications. As Swiggy joins the fray, here are the key details of its IPO:
Swiggy IPO issue size
SoftBank-backed Swiggy aims to raise Rs 11,327.43 crore through its IPO, which comprises a fresh issue of 115,358,974 shares and an offer for sale (OFS) of 175,087,863 shares with a face value of Re 1 apiece. The company is yet to announce the lot size.
Accel India IV (Mauritius), Apoletto Asia, Alpha Wave Ventures, Inspired Elite Investments, Tencent Cloud Europe, and MIH India Food Holdings are among the 10 shareholders of Swiggy who will be participating in the OFS.
Swiggy IPO grey market premium (GMP)
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According to sources tracking grey market activities, Swiggy’s unlisted shares commanded a strong premium on Tuesday, with shares trading at a premium of Rs 130 against the upper end of the price band in the grey market.
Swiggy IPO timeline
The three-day subscription window for the Swiggy IPO is likley to open for public subscription on Wednesday, November 6, 2024, and is expected to conclude on Friday, November 8, 2024.
The basis of allotment for Swiggy IPO shares is likely to be finalised on Monday, November 11, 2024, with shares expected to be credited to investors' demat accounts on Tuesday, November 12, 2024.
Swiggy shares are anticipated to make their market debut on Wednesday, November 13, 2024, by listing on the BSE and NSE.
Swiggy IPO objective
Swiggy intends to use the proceeds from the fresh issue to invest in its material subsidiary, Scootsy, and for the repayment or prepayment, in full or in part, of certain borrowings. The funds will also be directed toward expanding its Dark Store network for the quick commerce segment, including setting up new stores and making lease or licence payments.
Additionally, the company will use the proceeds for technology and cloud infrastructure investments, brand marketing, and business promotion to enhance brand awareness and visibility across segments. Swiggy also plans to fund inorganic growth through acquisitions.
Swiggy IPO registrar details
Link Intime India is the registrar for the Swiggy IPO, while JP Morgan India, BofA Securities India, Jefferies India, Kotak Mahindra Capital Company, Citigroup Global Markets India, Avendus Capital, and ICICI Securities are the book-running lead managers for the public issue.
Swiggy financial details
As per the information available in the draft red herring prospectus (DRHP), Swiggy reported revenue from operations at Rs 3,222.21 crore in the first quarter of FY25, compared to Rs 2,389.81 crore in the corresponding quarter of FY24. For the full years, revenue stood at Rs 11,247.40 crore in FY24, Rs 8,264.60 crore in FY23, and Rs 5,704.89 crore in FY22.
Swiggy’s total expenses for Q1FY25 stood at Rs 3,907.95 crore, compared to Rs 3,072.56 crore in Q1FY24. The expenses were recorded at Rs 13,947.38 crore in FY24, Rs 12,884.40 crore in FY23, and Rs 9,574.45 crore in FY22.
The company reported a net loss of Rs 611 crore in Q1FY25, compared to Rs 564.08 crore in Q1FY24. Net losses stood at Rs 2,350.24 crore in FY24, Rs 4,179.30 crore in FY23, and Rs 3,628.89 crore in FY22.
Swiggy's total liabilities were reported at Rs 2,896.25 crore in Q1FY25, compared to Rs 2,526.26 crore in Q1FY24. Total liabilities for previous years were Rs 2,737.96 crore in FY24, Rs 2,224.03 crore in FY23, and Rs 2,138.82 crore in FY22.
About Swiggy
Swiggy is a leading online food aggregator offering a user-friendly platform accessible through a unified app, where users can browse, select, order, and pay for food and grocery items. Its services include food delivery, and grocery delivery (Instamart), facilitated by an on-demand delivery partner network.
Swiggy operates a B2C marketplace platform, aggregating restaurant and merchant partners who list their offerings. Users can discover and purchase these items, and Swiggy supports the fulfilment of orders by enabling delivery, reservations, payments, and lead generation for partners.