Business Business: Food delivery platform Swiggy may launch an IPO next month. According to Mint, the company’s IPO value could be $11.3 billion. It is rumored that Swiggy is planning to raise $15 billion through the IPO. The reason for the devaluation is the current stock market situation and the growing reluctance of individual investors to go public. The country’s largest IPO Hyundai Motor Company also did not receive a positive response. Therefore the company was listed at a discount. These reasons forced Swiggy to think about its valuation. According to people familiar with the matter, the company’s IPO may start after November 6, 2024. More than 30 foreign investors are expected to be anchor investors in Swiggy’s IPO. However, there has been no official announcement on this subject yet.
According to reports, the company’s new updated DRHP will allow the issuance of new shares worth Rs 3,750 crore. At the same time, existing shareholders can sell 18.52 billion shares.
Swiggy competes directly with Zomato, Zepto and Tata’s BigBasket. Swiggy’s rival company Zomato is also trying to raise capital. The company tries to raise this amount through referrals from eligible institutions.
Let us tell you that Zomato’s IPO took place in July 2021. The IPO size of the company was Rs 9375 crore. Zomato’s share price has increased by 136.68% in the last year.
