Swiggy IPO: According to reports, Swiggy company got approval from SEBI to launch its (IPO) in November
Swiggy IPO: According to reports, the Securities and Exchange Board of India (SEBI) has given the online meal ordering and delivery startup Swiggy the go-ahead to begin its initial public offering (IPO) in November. With its headquarters located in Bangalore and operations spanning over 580 locations, Swiggy was founded in 2004.
The firm, valued at $9.3 billion as of August 2023 and supported by investors like Prosus, SoftBank, and Accel, filed its offer document on April 30 of this year under the secret pre-filing procedure, which means that for the time being, specifics are being withheld.
But according to rumors, Swiggy plans to raise ₹11,000 crore with a new ₹5,000 crore offering, as reported by Business Standard.
In November 2022, SEBI introduced the notion of secret filings. This pre-filing technique, which is popular in US marketplaces, permits the issuing business to withhold its offer document until it solidifies its IPO strategy. The first company to submit secret documents for an IPO to SEBI was the direct-to-home platform Tata Play (previously Tata Sky). It then backed out of its ambitions to list, the media said.
Swiggy is required to make its updated draft red herring prospectus (UDRHP) available to the public for at least 21 days prior to the IPO’s release. The public may submit input on the offer document during this period, and the company may then go forward with its IPO.
Huge queue for a piece of pie at the Swiggy IPO
According to rumors, a number of well-known companies have purchased stock in Swiggy ahead of its first public offering. The family office of Bollywood actor Amitabh Bachchan reportedly acquired a little share in Swiggy in August, according to media reports. The article further said that Raamdeo Agrawal, the head of Motilal Oswal Financial Services, purchased stock in Swiggy.
A week before, Modern Insulators said that it had acquired 1,38,800 shares at a price of ₹360 each, or 0.007% of Swiggy. At now, the transaction value is ₹4.99 crore.
With a ₹710 crore market capitalization, the corporation has introduced the shares as a “long-term investment.” The exchange filing said that the promoters of Modern Insulators had no stake in Swiggy Ltd. other than investment.
In addition, a media source claims that Swiggy has received investments from Ritesh Malik, the creator of Innov8, and star Madhuri Dixit. The two bought shares from the secondary market for ₹1.5 crore each.
If everything goes according to plan, Swiggy will join Zomato as the second food delivery company to float on a stock market.
