Swiggy IPO subscription status day 1: Issue booked 12%, retail leads at 54%; GMP signals muted listing gains

Swiggy reported a narrowed loss of Rs 611 crore for the quarter ended June 2024, compared to a loss of Rs 564 crore in the same period the previous year.

Swiggy IPO has received 12 percent subscription on the first day of bidding on November 6. The initial public offer by the food delivery and quick-commerce firm received bids for 1.89 crore shares against 16 crore shares on offer, according to the NSE data.

The retail individual investors' category was leading with 54 percent subscription, while non-institutional investors' quota fetched 6 percent subscription. Qualified institutional buyers picked 3,496 equity shares against the allotted quota of 8.69 crore shares, while employees bid 74 percent shares of the reserved portion.

Swiggy shares will be listed on the exchanges next week on November 13, Wednesday, while the allotment of shares will take place on Monday, November 11.

A day before its initial share-sale opening for public subscription, Swiggy collected Rs 5,085 crore from anchor investors, including New World Fund Inc, Government Pension Fund Global, Nomura Funds Ireland Public Limited Company, Fidelity Funds, BlackRock, Allianz Global Investors Fund and Schroder International.

Swiggy IPO opens for public subscription: Should you subscribe? GMP, price band among key details to know

As per the circular, Swiggy has allotted 13.04 crore shares to 151 funds at Rs 390 apiece. This aggregates the transaction size to Rs 5,085 crore. Of the 13.04 crore shares allocated to anchor investors, 5.3 crore shares went to 19 domestic mutual funds, distributed across 69 investment schemes.

Additionally, ICICI Prudential Mutual Fund (MF), SBI Mutual Fund, HDFC Life Insurance Company Ltd, SBI Life Insurance Co. Ltd and ICICI Prudential Life Insurance Company Ltd too were allotted shares in the anchor round.

Swiggy IPO — How tasty will it be for investors?

Swiggy IPO GMP is hinting a weak demand for shares in the grey market. According to Investorgain and IPO Watch, tracking the grey market premium, the shares of Swiggy are commanding a GMP in the price range of Rs 12 - 20 in the unofficial market, indicating a listing gain of around 3 - 5 percent.

Bengaluru-based Swiggy IPO is open for public subscription within a price band of Rs 371 to Rs 390 from November 6 to November 8.

The food delivery major is aiming to raise Rs 11,327 crore through the Initial Public Offering (IPO), comprising a fresh issue of shares worth Rs 4,499 crore and an Offer for Sale (OFS) component amounting to Rs 6,828 crore.

At the upper end of the price band, Swiggy's valuation is estimated at around Rs 95,000 crore. Its key competitor, Zomato, which went public in July 2021, commands a market valuation of Rs 2.13 lakh crore.

According to the draft prospectus, the company intends to allocate the proceeds from the fresh issue towards investment in technology and cloud infrastructure, brand marketing, business promotion, debt repayment, and funding for inorganic growth and general corporate purposes.

Founded in 2014, Swiggy reported a narrowed loss of Rs 611 crore for the quarter ended June 2024, compared to a loss of Rs 564 crore in the same period the previous year.

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