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Swiggy Gears Up for IPO with High-Profile Investments

Swiggy IPO: Ahead of its highly anticipated initial public offering (IPO), Swiggy has attracted investments from several prominent figures in entertainment, sports, and business, according to a report. Notable investors include cricketers Rahul Dravid and Zaheer Khan, tennis player Rohan...
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Swiggy IPO: Ahead of its highly anticipated initial public offering (IPO), Swiggy has attracted investments from several prominent figures in entertainment, sports, and business, according to a report. Notable investors include cricketers Rahul Dravid and Zaheer Khan, tennis player Rohan Bopanna, filmmaker Karan Johar, and actor Ashish Chowdhry.

Updated IPO Filing

On September 26, Swiggy filed its updated draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The IPO will feature a fresh issue of shares valued at Rs. 3,750 crore and an offer-for-sale (OFS) component involving 18.53 crore equity shares. Strong demand for Swiggy's pre-IPO shares has been noted in the unlisted market, with around 200,000 shares already purchased by investors.

Previous Investments

In past funding rounds, Bollywood icons Amitabh Bachchan and Madhuri Dixit, along with other founders Ritesh Malik, also invested in Swiggy. The company has attracted significant venture capital interest from firms like SoftBank Vision Fund, Accel, and Prosus. Motilal Oswal Financial Services Chairman Raamdeo Agrawal is also among its notable supporters.

Swiggy

Target Valuation

Sources indicate that Swiggy is aiming for a valuation of $15 billion through its IPO. In its last funding round in 2022, the company was valued at $10.7 billion after an investment from Invesco.

OFS Details

The IPO's OFS component will include shares sold by investors like Accel India, Apoletto Asia, Alpha Wave Ventures, Coatue PE Asia, Elevation Capital, Norwest Venture Partners, and Tencent Cloud Europe.

Also read: KRN Heat Exchanger IPO Opens for Subscription

Market Context

Swiggy’s IPO arrives at a time when its competitor Zomato is experiencing significant growth following a successful public debut in 2021, where shares listed at a 52% premium. Together, Swiggy and Zomato dominate India’s food delivery market, holding over 90% market share, which is expected to grow to Rs. 2 lakh crore by 2030.

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