Food and grocery delivery company Swiggy, on Tuesday, received approval for the initial public offering (IPO) of ₹10,414 crore ($ 1.25 billion) from its shareholders, based on the report of the Economic Times.
The online food delivery aims to raise ₹3,750 Crore in fresh capital and the IPO will include an offer-for-sale (OFS) component of up to ₹6,664 crore, according to the reports of Economic Times
Swiggy plans to raise approximately ₹750 Crore from anchor investors during a pre-IPO deal, according to the media reports.
Bengaluru-based firm in last decade has grown exponentially. Many companies around the world has held a significant portion of online food delivery market. The COVID-19 pandemic has further increased people’s reliance on food delivery.
According to McKinsey, food delivery has become a global sector worth more than $150 billion, having more than tripled since 2017.
The global food delivery market is expected to reach $154 billion by 2024, according to BusinessWire.
Dutch-listed investment company Prosus is the largest investor of Swiggy owning 33% of the share followed by Japan-based Soft Bank. According to the media report, Swiggy cofounders Sriharsha Majety, Nandan Reddy, and Rahul Jaimini each own 4%, 1.6%, and 1.2% of the company, stated Economic Times.
At the point of conversion, $1 = ₹83.34
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