New Delhi: The IPO of food delivery and quick commerce platform Swiggy is opening for subscription today i.e. on 6 November 2024. The company is going to raise money at a valuation of $11.3 billion i.e. about Rs 95,000 crore. Swiggy plans to raise Rs 11,327 crore from the IPO. This will include fresh equity of Rs 4,499 crore and an offer for sale (OFS) of Rs 6,828 crore.

What will be the price band of IPO

Swiggy has fixed a price band of Rs 371 to Rs 390 per share for the IPO. There will be 38 shares in one lot. This means that according to the upper price band, retail investors will have to invest at least Rs 14,820. Investors will be able to invest in this IPO from November 6 to November 8. Allotment of shares will be done on November 11. At the same time, its listing on NSE and BSE can happen on November 13.

Swiggy IPO GMP

Swiggy's IPO is getting a very sluggish response in the grey market. Its GMP is currently down to Rs 12, indicating a marginal listing gain of 3 per cent. The grey market is an unlisted market. Here the shares are bought and sold before the listing of the IPO. However, the prices here keep changing continuously.

Brokerage opinion on IPO

Brokerage house SBI Securities has advised to subscribe to Swiggy's IPO for the long term. It has mentioned some positive factors of Swiggy. For example, the company is among the leaders in the high-frequency hyperlocal commerce segment. However, Aditya Birla Capital has advised to stay away from Swiggy's IPO. It has listed negative factors like tough competition and reducing valuation.

How correct is Swiggy's valuation?

Talking about the valuation, Rohit Kapoor, CEO of Swiggy Food Marketplace, said, "We think we have priced it correctly and we are waiting for the next few days." Swiggy's valuation is pegged at around $11.3 billion (about Rs 95,000 crore) at the upper price band. Rival Zomato, which listed in July 2021, has a market valuation of Rs 2.13 lakh crore.

Has Swiggy's valuation fallen?

When asked about media reports about Swiggy's valuation being cut, Kapoor clarified that there has been no valuation cut. He told PTI in an interview that the real value of the company is determined when the transaction actually happens. "All this is speculation in the media about the valuation. So the fact of the matter is that the valuation has neither increased nor decreased. The valuation is exactly where it should be," Kapoor said.