Swiggy Looks At Pre-IPO Deal
Chennai: Food delivery service provider Swiggy is planning to go for a pre-IPO deal of offering shares to high net-worth individuals at 20 per cent discount.
Ahead of the IPO slated to be held after the general elections, Swiggy is pitching for a pre-IPO deal to high net-worth individuals (HNIs) to buy its shares at 20 per cent discount on its current valuation.
The company plans to offer shares at Rs 350 a piece and at a valuation of Rs 80,000 crore ($9.6 billion) valuation, said a report by Entrackr. Swiggy’s recent valuation by its investor Invesco stands at around Rs 1,00,000 lakh crore or over $12 billion. The minimum investment in the round is likely to be Rs 25 lakh.
Swiggy has converted itself into a public limited company from a private limited firm ahead of the announcement of its $1 billion IPO. Swiggy has been cutting its workforce as it wanted to trim costs and hit profitability in the run-up to the IPO.
Swiggy recorded Rs 5476 crore in revenue from operations and Rs 1,600 crore loss during the first three quarters of the financial year FY24. Its revenue and losses stood at Rs 8,265 crore and Rs 4,179 crore, respectively, in the fiscal year ending March 2023.
Swiggy’s rival Zomato went public in 2021 and was well received in the bourses.