Swiggy, the food delivery and quick commerce leader, is preparing to launch its initial public offering (IPO), aiming for a valuation of $10 billion (₹ 83,365 crore). The company plans to raise ₹ 10,000 crore through the IPO, with ₹ 3,750 crore coming from fresh issue shares. This major move signals Swiggy’s next step in expanding its market reach and business operations.
On Wednesday, Swiggy received approval from the Securities and Exchange Board of India (SEBI) to proceed with its IPO plans. This regulatory clearance marks a significant milestone in the company’s journey toward becoming a publicly listed entity. By Thursday, Swiggy confirmed its intent to raise ₹ 3,750 crore through fresh equity shares, which will support its growth strategy.
According to Swiggy’s draft red herring prospectus (DRHP), existing shareholders will play a crucial role in the IPO. Major investors such as Tencent Europe and Accel India will participate by selling a substantial portion of their shares. This offer for sale (OFS) includes the sale of approximately 18.5 crore shares, contributing to the overall IPO size.
The offer for sale is expected to push the total IPO size above ₹ 10,000 crore. Swiggy’s decision to include existing shareholders in the offering adds value to its public debut, providing potential investors with diverse share options. This move aligns with the company’s goal to solidify its financial position and attract global investors.
With this IPO, Swiggy aims to capitalize on its leadership in both the food delivery and quick commerce sectors. The raised funds will enable the company to scale its operations, enhance its technology infrastructure, and potentially expand into new markets. This public offering is seen as a pivotal moment in Swiggy’s growth trajectory.
