Zomato IPO Has generated bumper earnings for investors. After this, investors are eagerly waiting for the IPO of another food delivery app Swiggy. However, now this wait is about to end. According to various media reports, Swiggy's IPO is expected to come next month between November 6 and 8, 2024. At the same time, the window for anchor investors is likely to open on November 5, 2024. The offer will include new shares worth about Rs 3,750 crore and offer for sale (OFS) of about 18.53 crore shares. Overall, the total issue size is expected to be Rs 11,700 crore.
Considering the market, the company reduced the valuation
According to media reports, the new issue component is expected to be raised to Rs 4,500 crore. The company is now targeting a valuation of $11.3 billion, compared to its previous target of $15 billion. According to the company, it does not want a bad IPO. Notably, Swiggy's rival Zomato, which recently reported a 389% jump in its net profit. Zomato is bringing QIP (Qualified Institutional Placement) to raise Rs 8,500 crore. For the quarter ending September 30, 2024, Zomato posted a net profit of Rs 176 crore.
Swiggy's revenue increased well
Last year, i.e. between March 2023 and 2024, Swiggy saw a 34% growth in its revenue from operations, from Rs 8,714.45 crore in FY23 to Rs 11,634.35 crore in FY24. The company's loss also declined from Rs 4,179.31 crore in FY23 to Rs 2,350.24 crore in FY24. Swiggy's rival company Zomato went public in July 2021 with an offer size of Rs 9,375 crore. Currently, the company's stock is trading at Rs 250.95, a massive increase of 138.48% over the last year. Some of the major existing investors in Swiggy include SoftBank, which has an 8% stake, and Accel, which has a 6% stake in the company. It is noteworthy that Swiggy's IPO has been approved by market regulator SEBI.
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