Swiggy, a leading company that supplies food and grocery items by taking online orders, may launch its initial public offering (IPO) on November 6. Sources gave this information on Monday. The company is planning to raise Rs 11,300 crore through IPO. The price range for shares under the IPO will be between Rs 371 to Rs 390. Sources said the issue will close on November 8 and anchor investors will be able to bid for shares on November 5. Swiggy had filed the documents on April 30 through the confidential pre-filing route. He said that the share of the fresh issue in the company's Rs 11,300 crore IPO is Rs 4,500 crore, while an offer for sale (OFS) worth Rs 6,800 crore will be made.
Shareholders participating in the OFS include Accel India IV (Mauritius) Ltd., Apoleto Asia Ltd., Alpha Wave Ventures, LP, Coatue PE Asia XI LLC, DST EuroAsia V B.V., Elevation Capital V Ltd., Inspired Elite Investments Ltd., MIH India Food Holdings BV, Northwest Venture Partners VII-A Mauritius, and Tencent Cloud Europe BV. Early investors like Accel, Elevation Capital and Norwest Ventures are set to earn up to 35 times returns on the shares they sell, while SoftBank remains a consistent investor.
According to the IPO documents, Rs 137.41 crore from the fresh issue will be used to repay the debt of subsidiary Scooty. Apart from this, Rs 982.40 crore will be invested to expand Scooty's dark store network in Rapid Commerce Zone, of which Rs 559.10 crore will be kept for setting up dark stores and Rs 423.30 crore will be kept for lease or license payment. The company also plans to allocate Rs 586.20 crore for tech and cloud infrastructure, Rs 929.50 crore for brand marketing and business promotion.
Founded in 2014, Swiggy was valued at about US$13 billion as of April. According to global startup data platform Traxon, its annual revenue reached US$1.09 billion as of March 31, 2023, and it employs more than 4,700 people. In September, SEBI had approved Swiggy's confidential offer document, leading to the filing of updated draft papers. The company had initially submitted its offer document on April 30 through the confidential pre-filing route.
