Title: Swiggy Plans to Increase IPO Fresh Issue by $150 Million to Raise $1.4 Billion | Latest Updates
Indian food delivery giant Swiggy is considering boosting the fresh issue component of its upcoming IPO by $150 million, with plans to raise a total of up to $1.4 billion. This move could make Swiggy's IPO one of the biggest public listings in India this year, attracting significant attention from investors and analysts.
According to a recent filing for an extraordinary general meeting, Swiggy is seeking shareholder approval to raise up to 50 billion rupees ($600 million) through a fresh issue of shares, up from the previously planned $450 million. The startup, valued at $10.7 billion, is also looking to sell about $800 million worth of shares from existing investors at the IPO.
Swiggy's IPO is expected to target a valuation of about $15 billion, although these terms may change in the coming weeks. The company's quick commerce service, Instamart, has been performing well, generating a GMV of $1 billion at an annual run rate.
Despite facing tough competition from rivals like Zomato, BigBasket, and Zepto, Swiggy remains a key player in the Indian food delivery and quick commerce market. Analysts predict that the quick commerce industry will see increased competition in the next 6-12 months, as top platforms expand their offerings and cater to higher demand.
With Swiggy's IPO set to be one of the largest public debuts in India this year, the financial markets are closely watching the company's moves. Bank of America analysts suggest that Indian firms could raise about $11 billion through IPOs and FPOs in the second half of the year, indicating a strong market appetite for new offerings.
In conclusion, Swiggy's decision to increase its IPO fresh issue by $150 million reflects the company's ambitious growth plans and market confidence. Investors should keep an eye on Swiggy's IPO as it unfolds, as it could have significant implications for the Indian food delivery and quick commerce sectors, as well as the broader financial markets.