Swiggy targets $12.7bn valuation for November IPO

Prosus, SoftBank, and Accel are some of Swiggy significant investors. On September 24, the company received approval from SEBI after discreetly filing draft share sale papers.

Swiggy, the food and grocery delivery platform backed by Prosus and SoftBank, is aiming for a valuation between $11.7 billion and $12.7 billion as it prepares to launch its highly anticipated initial public offering (IPO) in early November, sources told Moneycontrol.

IPO Valuation and Investor Interest

According to sources familiar with the matter, anchor investors have begun submitting bids, with Swiggy eyeing a valuation within the $11.7-$12.7 billion range. “Swiggy is currently working with an IPO valuation in the range of $11.7 billion to $12.7 billion and bids have started coming in from anchor investors,” one person revealed.

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Timeline and Offer Details

The IPO is expected to launch in early November, likely within the first two weeks. However, the exact timeline could be adjusted depending on market conditions, according to another source.

Swiggy’s IPO is set to include a fresh issue component of Rs 3,750 crore and an offer for sale (OFS) of up to 182.3 million equity shares, as per the company’s draft red herring prospectus.

Potential Upsizing of Primary Component

A third source indicated that the primary issue component could be increased to Rs 4,500 crore, as SEBI regulations allow up to a 20% increase in the primary issue.

The overall IPO size is expected to surpass Rs 12,000 crore ($1.42 billion), depending on valuations and investor exit strategies.

This upsizing was first reported by Moneycontrol in September.

Swiggy has not yet provided an official response regarding the IPO, and this article will be updated once a statement is received.