Food delivery and quick-commerce major Swiggy said on Tuesday it has raised Rs 5,085 crore from anchor investors a day before the opening of its initial share-sale for public subscription.
Among the anchor investors who have been allocated shares are New World Fund Inc, Government Pension Fund Global, Nomura Funds Ireland Public Limited Company, Fidelity Funds, BlackRock, Allianz Global Investors Fund and Schroder International, as per a circular uploaded on BSE's website.
In addition, 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 also received shares in the anchor round.
This allotment clearly reflects the huge demand coming from both domestic and international institutional investors, indicating a healthy market sentiment towards this IPO.
According to the circular, Swiggy has issued 13.04 crore shares to 151 funds at Rs 390 apiece. In total, it aggregates the size of transaction to Rs 5,085 crore.
Out of the total allotted shares worth 13.04 crores, nearly 5.3 crores went to the 19 domestic mutual funds with divided distribution schemes in 69 respective investment schemes.
The shares of the Bengaluru-headquartered company will be open for public subscription at a price band of Rs 371 to Rs 390 from November 6-8.
This is the fourth IPO to open up amid a spate of issuances in recent times with South Korean carmaker Hyundai's mega issue of Rs 28,000 crores.
With regard to the IPO, DLF plans to raise an amount of Rs 11,327 crore. This primarily includes a fresh issuance of equity shares worth Rs 4,499 crore accompanied by an OFS to garner Rs 6,828 crore.
The secondary share consists of exits or partial exits by venture capital fund Accel India, Tencent Cloud Europe and Alpha Wave Ventures, while the early backers have put in between Rs 11.17 and Rs 178.90 per piece depending upon when they invested into the company according to disclosures.
Swiggy's valuation has been pegged at about USD 11.3 billion, or about Rs 95,000 crore, at the upper price band. The rival Zomato, which went public in July 2021, has a market valuation of Rs 2.13 lakh crore.
The company intends to use the fresh issue proceeds for investing in technology and cloud infrastructure, brand marketing and business promotion, debt repayment, and funds will also be used for inorganic growth and general corporate purposes, as per the draft papers.
Bengaluru-based food delivery app Swiggy, founded in 2014, has narrowed its loss to Rs 611 crore in the quarter ended June 2024 from Rs 564 crore in the same period last year.
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