New Delhi: Food delivery giant Swiggy has revised its plans for its highly anticipated initial public offering (IPO), aiming to raise a substantial Rs 3,750 crore. The company filed its updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) on Thursday.
The proposed IPO includes a fresh issue of equity shares worth Rs 3,750 crore and an offer-for-sale (OFS) of 18.52 crore equity shares by existing shareholders. While market sources estimate the overall IPO size to exceed Rs 10,000 crore, Swiggy is also exploring the possibility of a pre-IPO funding round, which could potentially reduce the size of the fresh issue.
Several prominent investors, including Accel India IV (Mauritius), Apoletto Asia, Alpha Wave Ventures, LP, Coatue PE Asia XI LLC, DST EuroAsia V BV, Elevation Capital V, Inspired Elite Investments, MIH India Food Holdings BV, Norwest Venture Partners VII-A Mauritius, and Tencent Cloud Europe BV, are participating in the OFS.
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The company’s updated draft filing comes after SEBI approved its confidential offer document earlier this week. Swiggy had initially submitted its offer document on April 30 through the confidential pre-filing route.
Proceeds from the fresh issue will be utilized for various purposes, including debt repayment for subsidiary Scootsy, expanding the Dark Store network in the Quick Commerce segment, investing in technology and cloud infrastructure, brand marketing and business promotion, inorganic growth, and general corporate purposes.
Founded in 2014, Swiggy has experienced significant growth, with a valuation of nearly USD 13 billion in April. The company’s annual revenue stood at USD 1.09 billion as of March 31, 2023, and it employs over 4,700 people.
