Swiggy files DRHP with SEBI, plans Rs 3,750 crore fresh issue and Rs 6,500 crore OFS

Swiggy filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India ( SEBI ) on September 26. The draft includes a fresh issue component of Rs 3,750 crore and an offer for sale (OFS) of approximately 18.53 crore shares. With the current share price around Rs 350, the OFS is expected to raise about Rs 6,500 crore.

Investors including Accel, Coatue, Alpha Wave, Elevation, Norwest, and Tencent plan to sell shares to lower their stakes in Swiggy. This move aims to attract new investors as the company looks to capitalize on its growth potential and diversify away from Zomato . Earlier this week, Moneycontrol reported SEBI's approval of Swiggy's confidential DRHP.

India’s food delivery market is projected to grow to Rs 2 lakh crore by 2030, with Swiggy and Zomato controlling over 90 per cent of the sector. While Zomato went public in 2021, Swiggy is expected to enter the market in the coming months.

Key shareholders in Swiggy include Prosus (32 per cent), SoftBank (8 per cent), and Accel (6 per cent), along with other investors like Elevation Capital, DST Global, Norwest, Tencent, Qatar Investment Authority (QIA), and Singapore’s GIC. The company was valued at $10.7 billion during its last funding round in January 2022, and analysts believe it could list with a valuation between $10 billion and $13 billion.

Swiggy’s IPO preparations began in November 2023.