Swiggy IPO Set to Launch on November 6 with a Target Valuation of $11.3 Billion – Key Details Inside

Swiggy's IPO, set for public subscription between November 6-8, aims at an $11.3 billion valuation with a ₹4,500 crore fresh issue component. Anchor book opens November 5. Swiggy and Zomato rivalry shapes India's food delivery IPO landscape.

By Aayushi Dubey Oct 27, 2024, 10:50 IST

Food delivery giant Swiggy of India is set to open its much-awaited Initial Public Offering (IPO) to the public on November 6 and close it by November 8, 2024. Reports in Moneycontrol said that the anchor book portion of the IPO opens on November 5. This would position Swiggy as one of the major players to be public-listed in the Indian food delivery space, a market that it and Zomato share nearly monopolistic market control over.

Swiggy IPO Size and Valuation

Sources said Swiggy's IPO will likely be valued at $11.3 billion at the upper end of its price band. The base component of the issue has been hiked to about ₹4,500 crore, which will make the estimated IPO size about ₹11,700 crore to ₹11,800 crore. The offer includes a fresh issue component of ₹3,750 crore and an Offer for Sale of up to 182,286,265 equity shares.

Swiggy's Competitive Landscape with Zomato

Swiggy's closest competitor, Zomato, had raised ₹9,375 crore in its successful IPO last year, and since then the shares have skyrocketed to over 136%. Within the quick commerce space, Swiggy's Instamart faces stiff competition from Zomato's Blinkit and Zepto and BigBasket, so the competition has also expanded from food delivery to other verticals. As Zomato plans a QIP to raise further funds, Swiggy is set to launch an IPO to strengthen its position in the market.

Important Shareholders and Filing Status under Confidentiality

Among the shareholders of Swiggy are giants, including Prosus with 32 percent, SoftBank at 8 percent, and Accel at 6 percent, along with Elevation Capital, DST Global, and GIC. Swiggy confidentially filed its IPO documents on September 24-a strategic move by the firm, which provided the company with confidentiality for offer details till finalizing its plan to go for an IPO.

It is likely that Swiggy's much-awaited public debut will receive immense market attention, driven by the Indian food delivery market duopoly of Swiggy and Zomato and aggressive growth in quick commerce with Instamart.