Food delivery company Swiggy’s initial public offering has opened for bidding today, November 6. With the proposed size of Rs 11,327 crore—including 11.54 crore equity shares worth Rs 4,499 crore and an offer for sale of 17.51 crore shares worth Rs ,828.43 crore—the IPO will remain open for bidding till November 8. It raised Rs 5,085 crore from anchor investors on Tuesday.
As of 12;18 pm, Swiggy IPO was subscribed just 0.07 times on the first day of the bidding process, according to NSE data. It revealed that the IPO has attracted 1,10,51,578 shares out of 16,01,09,703 on offer. There was modest interest by retail institutional investors (RIIs) with a 0.33 times subscription rate, while the figure for non-institutional investors (NIIs) stood at 0.03 times. The employee portion saw 0.48 times subscription. However, qualified institutional buyers (QIBs) bid for a mere 532 shares against the 8,69,23,475 reserved for this category.
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Allotment of the IPO will happen on November 11 with listing date likely set at November 13. The share is available within the price band of Rs 371–390 per share. The company’s shares are trading at a premium of Rs 11 in the grey market today.
The minimum lot size is 38 shares requiring a minimum investment of Rs 14,098.
According to the company’s updated draft red herring prospectus, 75 per cent of the shares are reserved for QIBs, 15 per cent for NIIs and 10 per cent for RIIs. Employees are reserved 750,000 shares at a discount of Rs 5 from the issue price.
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The proceeds of the fresh issue will be used for investments in strengthening technology and cloud infrastructure, brand marketing and repaying debt. It will also be used to allocate funds for inorganic growth and general corporate purposes.
Established in 2014, Swiggy reported a loss of Rs 611 crore in the first quarter of FY25, up from Rs 564 crore during the corresponding quarter a year ago.
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