The Rs 11,327 crore IPO of online food delivery company Swiggy was subscribed 3.59 times on the last day of bidding on Friday after a muted response from the investors in the initial two days of its public issue.
The Swiggy IPO was subscribed 0.35 times and 0.12 times on the issue's second and first day, respectively. The qualified institutional buyers' QIBs reserve portion saw a subscription of 6.02 times; non-institutional investors NIIs portion witnessed a subscription of 0.41 times; while the retail individual investors RIIs portion subscribed at 1.14 times, and employee portion witnessed a subscription of 1.65 times.
The firm has set a price band of Rs 371 to Rs 390. Swiggy shares will list on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on November 13 while allotment of shares takes place on November 11.
According to brokerages, Swiggy holds the number two spot in India's food and grocery market behind Zomato. As of date, Swiggy cornered nearly 34 per cent market share against Zomato's 58 percent in food delivery. In the quick commerce space, Blinkit of Zomato holds 40 to 45 percent of the market share, while Instamart of Swiggy commands 20-25 percent.
Swiggy has incurred losses on both the standalone as well as on a consolidated basis over the last three years. In FY 2021-22, the revenue stood at Rs 6,119.78 crore and the net loss at Rs 3,628.90 crore. Whereas in FY 2022-23, total revenues went up to Rs 8714.45 crore, along with a net loss of Rs 4,179.31 crore. The revenues have risen to Rs 11,634.35 crore in FY 2023-24. The total net loss has decreased to Rs 2,350.24 crore. During the June quarter of FY 2024-25, the company's total revenues had stood at Rs 3,310.11 crore and net loss at Rs 611.01 crore.
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