Swiggy raises primary issuance to Rs 4,499 cr, cuts OFS to 175.1 mn shares

Swiggy adjusts valuation, targets Rs 11,300 cr IPO with Nov launch, amid market volatility

Food and grocery delivery giant Swiggy has officially filed for an Rs 11,300 crore Initial Public Offering (IPO) with India’s Securities and Exchange Board of India (Sebi). The Bengaluru-based company increased its primary issuance target to Rs 4,499 crore, up from an earlier Rs 3,750 crore shares. The offer for sale (OFS) has also been revised, with a total of 175.1 million shares, down from 185.3 million.

 

Swiggy’s largest investor, Prosus, plans to sell 109.1 million shares, reducing its initial divestment size, while Tencent and other shareholders are set to divest as part of the offering.

 

The IPO is scheduled to open from November 6 to November 8, with anchor investors bidding on November 5. Swiggy is expected to finalise its share listing on November 13. This public offering follows Hyundai Motor India’s recent IPO, marking it as the second-largest in India this year.

 

 

Founded in 2014, Swiggy grew rapidly by capitalising on India’s increasing demand for online food delivery. It later expanded to grocery delivery through Instamart. Unlike Zomato, which went public in 2021, Swiggy has taken a more cautious approach. It focused on its profitability metrics, improving operational efficiencies, and building its grocery delivery services before going public.

 

The expected price band is Rs 371–390 per share. Swiggy will face competition from Zomato, its primary rival in the food delivery market, which currently has a market cap of around $26.5 billion on the BSE.  [With agency inputs]