Swiggy IPO: Price band, GMP, dates, among 10 things to know before subscribing to the issue

Swiggy IPO: Food and grocery delivery giant Swiggy is set to make its stock market debut next week with the launch of its initial public offering (IPO). Swiggy IPO is set to hit the Street on November 6 and the SoftBank-backed company plans to raise more than ₹11,000 crore from the primary market.

Several prominent investors, including Norway’s sovereign wealth fund Norges and Fidelity, have reportedly placed bids worth more than $15 billion in the Swiggy IPO, 25 times the $605 million portion reserved for such investors.

Ahead of Swiggy IPO opening, given below are 10 key things to know about the public issue.

Swiggy IPO: Key things to know

1] Swiggy IPO Dates: The mainboard IPO of Swiggy Ltd will open for public subscription on Wednesday, November 6, and will close on Friday, November 8.

2] Swiggy IPO Price Band: Swiggy IPO price band has been set at ₹371 to ₹390 per share.

3] Swiggy IPO Size: At the upper-end of the price band, the company aims to raise ₹11,327.43 crore from the book-built issue which is a combination of fresh issue of 11.54 crore equity shares aggregating to ₹4,499 crore and offer for sale of 17.51 crore shares worth to ₹6,828.43 crore.

4] Swiggy IPO Lot Size: The minimum lot size for application of Swiggy IPO is 38 shares. At the upper price band of ₹390, the minimum amount of investment required by retail investors is ₹14,820.

5] Swiggy IPO OFS: The investors selling shares in the OFS portion of Swiggy IPO include Accel India IV (Mauritius) Ltd, Apoletto 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 B.V, Norwest Venture Partners VII-A Mauritius and Tencent Cloud Europe B.V.

6] Swiggy IPO Reservation: Around 75% of the shares in Swiggy IPO are reserved for Qualified Institutional Bidders (QIB), 15% of the net issue is reserved for Non-Institutional Investors (NII) and 10% for Retail investors. The company has reserved up to 750,000 shares for employees and is offering shares to them at a discount of ₹25 to the issue price.

7] Swiggy IPO Objectives: The company proposes to utilize the net issue proceeds towards funding investment in the Material Subsidiary, Scootsy, investment in technology and cloud infrastructure, brand marketing and business promotion expenses for enhancing the brand awareness and visibility of its platform, across segments; and for funding inorganic growth through unidentified acquisitions and general corporate purposes.

8] Swiggy IPO Allotment & Listing: Swiggy IPO allotment date is likely November 11 and the IPO listing date is expected to be November 13. The company will credit the equity shares into the demat accounts of eligible investors on November 12 and initiate refunds to unsuccessful bidders on the same day.

9] Swiggy IPO Registrar, BRLM: Kotak Mahindra Capital Company, Citigroup Global Markets India, Jefferies India, Avendus Capital, JP Morgan India, BofA Securities and ICICI Securities are the book running lead managers of the Swiggy IPO, while Link Intime India Private Ltd is the IPO registrar.

10] Swiggy IPO GMP: Swiggy IPO GMP today, or grey market premium today, is ₹22 per share, according to stock market observers, This indicates that in the grey market, Swiggy shares are trading higher by ₹22 apiece, or at a premium of 5.64%, at ₹412 per share, than their issue price of ₹390 per share.

About Swiggy

Swiggy is the online food and grocery delivery company and among the first hyperlocal commerce platforms. On the financial front, the company has reported losses for the last three fiscals on a consolidated basis.

For the financial year ending March 2024, Swiggy reported a net loss of ₹2,350.24 crore upon a revenue of ₹11,634.35 crore. For three months ending June 2024, the company posted a net loss of 611.01 crore and a revenue of ₹3,310.11 crore.

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