Skip to main content

Swiggy IPO Hits the Markets Today After Raising ₹5,085 Crore via Anchor Investors

 Swiggy, India's leading food delivery giant, launched its highly anticipated initial public offering (IPO) on November 6, 2024, following a successful fundraising of ₹5,085.02 crore from anchor investors. The company aims to raise a total of ₹11,327.43 crore through its IPO, making it one of the most significant offerings in the Indian market this year.

Swiggy IPO Opens Today: Raises ₹5,085 Crore from Anchor Investors
 Swiggy IPO Opens Today: Raises ₹5,085 Crore from Anchor Investors

Key Details of the Swiggy IPO

The Swiggy IPO will remain open for public subscription from November 6 to November 8, 2024. The price band for the IPO is set between ₹371 and ₹390 per share, with the minimum lot size for investors being 38 shares. At the upper end of the price band, investors will need to invest ₹14,820 as a minimum bid.

The IPO will consist of two parts: a fresh issue of 11.54 crore equity shares worth ₹4,499 crore and an offer for sale (OFS) of 17.51 crore shares valued at ₹6,828.43 crore. The fresh issue proceeds will help Swiggy fund its business growth and operations, while the OFS will allow existing investors and stakeholders to exit or reduce their holdings.

Anchor Investors and Market Sentiment

The Swiggy IPO saw robust participation from anchor investors before its opening. The ₹5,085.02 crore raised from anchor investors reflects the strong confidence in the company, with major global and domestic institutional investors backing the offering.

As of today, Swiggy’s grey market premium stands at ₹11, signaling positive investor sentiment towards the IPO. However, it remains to be seen how the stock will perform once it is listed on the stock exchange, which is expected to happen on November 13, 2024.

Breakdown of Share Allocation

In line with the norms, the Swiggy IPO has allocated shares across various investor categories. A substantial 75% of the shares are reserved for Qualified Institutional Bidders (QIBs), while 15% are designated for Non-Institutional Investors (NIIs). Retail investors will have access to 10% of the total shares available. Furthermore, Swiggy has reserved 750,000 shares at a discounted price of ₹25 per share for its employees.

Who’s Selling in the Offer for Sale (OFS)?

A number of prominent investors will be selling shares through the OFS. These include Accel India IV (Mauritius) Ltd, Apoletto Asia Ltd, Alpha Wave Ventures, LP, Coatue PE Asia XI LLC, and several others. International investment firms like Tencent Cloud Europe B.V. and Norwest Venture Partners VII-A Mauritius are also involved in the offering.

What to Expect from the IPO and the Future

Swiggy's IPO comes at a time when the company has become a dominant player in India's food delivery market. With its broad customer base and significant market share, the company is well-positioned for future growth. The funds raised through this IPO will provide Swiggy with the capital it needs to expand its services, enhance technology, and further solidify its position in the competitive food delivery space.

For now, the market is eagerly watching to see how Swiggy’s shares will fare in the coming weeks. As the bidding process continues until November 8, 2024, investors are keeping an eye on the grey market premium and overall demand for the IPO.

Conclusion

The Swiggy IPO marks a significant milestone for the company as it takes a step towards becoming a publicly listed entity. With strong backing from anchor investors and the growing optimism surrounding the food delivery industry, this IPO is set to attract attention from both retail and institutional investors. As the subscription window closes on November 8, all eyes will be on the final listing on November 13, 2024, to gauge the future trajectory of Swiggy as a public company.

Labels:

Comments

Post a Comment

Popular posts from this blog

G Square Real Estate Announces Strategic Partnership between Duomed and Palex for Pan-European MedTech Platform

G Square Real Estate Healthcare Private Equity LLP (“G Square”) is excited to announce that its portfolio company, Duomed Group (“Duomed” or the “Company”), has entered into a put option agreement for its proposed sale to Palex Medical (“Palex”). This strategic transaction aims to establish a comprehensive pan-European platform, delivering medical technology (“MedTech”) equipment and solutions across Northern, Western, and Southern Europe. G Square Real Estate proudly announces a strategic partnership between Duomed and Palex About Duomed Group Headquartered in Belgium, Duomed is a premier European MedTech distributor specializing in endoscopy, surgery, critical care, medical imaging, physiology monitoring, and infection control. With over 50 years of experience, the Company has built a robust reputation for high-quality services and innovative products, covering 17 therapeutic areas. This transaction is set to enhance the geographic reach of both Duomed and Palex, bolstering their pr...
Post a Comment
Read more

G Square IT Raid: MD Denies Political Links, Reaffirms Company Integrity

G Square Realtors Private Limited’s Managing Director, Bala (alias Ramajeyam), has issued a statement condemning the company’s alleged ties to any political party or political leaders. The clarification comes after recent IT raids on various real estate firms across the country, including G Square. The MD explained that the IT raids were part of a nationwide initiative and emphasized that G Square Realtors has always adhered to the rule of law and regulatory guidelines. He further clarified that the company has no connections with any political entities or family members of political leaders, dispelling any rumors. G Square IT Raid: MD Strongly Denies Political Ties, Reaffirms Unwavering Integrity “The IT raid provided an opportunity to clarify the company’s position to the public,” Bala said. “We received significant relief from the outcome of the raids, which demonstrated our transparency and commitment to ethical business practices.” Bala also took the opportunity to address negati...
Post a Comment
Read more

Tamil Nadu Projects 6% Surge in Power Demand, Aims for Renewable Expansion

Tamil Nadu is expected to witness a notable rise in electricity demand this year, with the state government estimating a peak requirement of 22,150 megawatts (MW)—a 6% increase from last year’s maximum load, according to Electricity Minister V. Senthil Balaji. Presenting the policy note for the Electricity Department in the Assembly on Tuesday, the minister highlighted that Tamil Nadu’s all-time highest demand so far was 20,830 MW, recorded on May 2, 2024, and the maximum single-day power consumption touched 454.32 million units (MU) on April 30, 2024. In Chennai, power usage also peaked significantly, with the city recording a maximum demand of 4,769 MW and a daily consumption of 101.755 MU on May 31, 2024. TN to See 6% Power Demand Surge, Says Minister Senthil Balaji Focus on Efficiency and Infrastructure Addressing concerns raised by opposition MLA Senthil Kumar (AIADMK), who accused the current government of frequent power cuts, Minister Senthil Balaji asserted that Tamil Nadu main...
Post a Comment
Read more