Swiggy IPO: Check GMP, price band, lot size, dates and other key details

Swiggy's upcoming IPO promises to be a game-changer in the food delivery market. Read on to know about the key details and what this debut could mean for the future of online delivery in India.

In Short

• Swiggy IPO launches November 6, aiming to raise Rs 11,000 crore
• High-profile investors bid over $15 billion for Swiggy shares
• Minimum investment for retail investors is Rs 14,820 at IPO

Prominent food and grocery delivery giant Swiggy is gearing up for its stock market debut with an initial public offering (IPO) that is set to launch on November 6. Backed by SoftBank, the company aims to raise over Rs 11,000 crore from this public offering.

The IPO has garnered significant interest from high-profile investors, including Norway’s sovereign wealth fund, Norges, and Fidelity, who have reportedly submitted bids exceeding $15 billion, substantially outpacing the $605 million allocation reserved for them.

Ahead of the IPO's launch, here are some key details that potential investors need to know.

KEY DATES

The Swiggy IPO will be open for public subscription from Wednesday, November 6, until Friday, November 8. Investors should mark these dates to ensure participation in this much-anticipated offering.

PRICE BAND

The price band for the Swiggy IPO has been set at ₹371 to ₹390 per share. This pricing reflects the company’s valuation as it prepares for its market entry.

LATEST GMP

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

In total, Swiggy aims to raise Rs 11,327.43 crore at the upper end of its price band, comprising a fresh issue of 11.54 crore equity shares worth Rs 4,499 crore and an offer for sale of 17.51 crore shares valued at Rs 6,828.43 crore.

OTHER KEY DETAILS

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

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

The company is also allocating up to 750,000 shares for its employees, who will receive a Rs 25 discount on the issue price.

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

The allotment date for shares is expected to be November 11, with shares likely credited to investors' demat accounts on November 12. The stock is anticipated to list on exchanges on November 13.

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

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