Leading food and grocery delivery giant Swiggy is gearing up for its debut on the stock market with an initial public offering (IPO) set to begin on November 6. The SoftBank-backed company aims to raise over Rs 11,000 billion from this IPO.

The IPO has garnered significant interest from high-profile investors, including Norway’s sovereign wealth fund Norges and Fidelity, who have reportedly bid in excess of $15 billion, significantly outpacing their $605 million allocation.

Ahead of the IPO launch, here are some of them Important details potential investors should know.

IMPORTANT DATES

Swiggy IPO will be open for public subscription from Wednesday, November 6 to Friday, November 8. Investors need to mark these dates to ensure participation in this highly anticipated offering.

PRICE BAND

The price range for the Swiggy IPO is set at €371 to €390 per share. This pricing reflects the company’s valuation as it prepares to enter the market.

LATEST GMP

As of today, the gray market premium (GMP) for Swiggy shares is Rs 22 per share. This shows that in the gray market, Swiggy shares are trading at a premium of around 5.64% at Rs 412 per share compared to the upper issue price of Rs 390.

In total, Swiggy aims to raise 11,327.43 crore at the upper end of the price range, which includes an issue of 11.54 crore shares valued at Rs 4,499 crore and an offer for sale of 17.51 ​​crore shares valued at Rs 6,828.43 crore.

OTHER IMPORTANT DETAILS

The minimum lot size for investment in Swiggy IPO has been set at 38 shares and requires a minimum investment of Rs 14,820 for retail investors in the upper price band.

The IPO will see participation of various investors and approximately 75% of the shares will be reserved for Qualified Institutional Bidders (QIB), 15% for Non-Institutional Investors (NII) and 10% for retail investors.

The company will also allocate up to 750,000 shares to its employees, which will be given a discount of Rs 25 on the issue price.

Proceeds from the IPO are intended to support investments in its subsidiary Scootsy, develop its technology and cloud infrastructure, and support brand marketing efforts. Swiggy also plans to use the funds for potential acquisitions and other corporate purposes.

The allocation date of the shares is expected to be November 11, and the shares are expected to be transferred to the investors’ current accounts on November 12. The stock is expected to be listed on stock exchanges on November 13.

Swiggy, which has established itself as the leader in online food and grocery delivery, has reported losses in the last three financial years.

For the financial year ending March 2024, the company recorded a net loss of Rs 2,350.24 billion on revenue of Rs 11,634.35 billion. In the quarter ending June 2024, it reported a net loss of Rs 611.01 billion on revenue of Rs 3,310.11 billion.