Swiggy Gears Up for Big IPO Launch with Valuation Target of $11.3 Billion – Public Subscription Expected Nov 6-8

Food delivery giant Swiggy, backed by Prosus and SoftBank, is all set to launch its initial public offering (IPO) for public subscription between November 6-8. According to insider sources, the IPO is expected to value the company at around $11.3 billion, and an anchor investment portion is scheduled to open a day earlier on November 5.

The primary part of the IPO has been expanded to nearly Rs 4,500 crore, while the offer-for-sale (OFS) part is being adjusted based on investor interest. Sources also confirmed the IPO’s total size to be between Rs 11,700 crore to Rs 11,800 crore.

While Swiggy didn’t immediately comment, Moneycontrol previously reported Swiggy is aiming for a valuation range between $11.7 billion to $12.7 billion. According to Swiggy’s draft red herring prospectus, the IPO will consist of a fresh issue worth Rs 3,750 crore and an OFS of over 182 million equity shares.

Swiggy’s main competitors in food and grocery delivery are Zomato’s Blinkit, Zepto, and Tata’s BigBasket. As Swiggy preps for its IPO, rival Zomato is planning to raise funds via the Qualified Institutional Placement (QIP) route.

Swiggy’s investors include Prosus (32%), SoftBank (8%), and Accel (6%). Other shareholders include Elevation Capital, DST Global, Tencent, Qatar Investment Authority (QIA), and Singapore’s GIC. The investment banks managing Swiggy’s IPO are Citi, JP Morgan, Kotak Mahindra Capital, Jefferies, ICICI Securities, Avendus Capital, and Bofa Securities. The law firm Cyril Amarchand Mangaldas is Swiggy’s counsel.

Swiggy received approval for its IPO from the Securities and Exchange Board of India (SEBI) on September 24. This approval came after Swiggy confidentially filed its draft share sale papers, allowing it to keep IPO details private until ready.

The confidential filing route, introduced by SEBI in 2022, is common in U.S. markets. It allows a company to keep sensitive financials hidden from competitors until the final IPO plan is solidified. Tata Play was the first in India to use this route, though it later canceled its IPO plans.

Sources: Internet Sources & Twitter X 

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