In this post, we will learn about the Swiggy Limited IPO: Should you apply for this IPO? What is the subscription status? What does the company do? What is today’s GMP (Gray Market Premium), and how to check the allotment?
About the Company
Swiggy Limited is a leading online food delivery platform that allows customers to enjoy meals from their favorite restaurants right at their doorstep. This technology-based company is dedicated to driving significant change in the food industry, providing customers with a convenient way to order food online.
Key Operations of Swiggy:
- Online Food Delivery– Swiggy enables customers to order food from restaurants through its mobile app and website and have it delivered to their home.
- Restaurant Partnerships – Swiggy collaborates with restaurants to help them receive online orders and expand their business.
- Customer Service– The company ensures that customers experience a convenient, fast, and high-quality delivery service.
- Swiggy Instamart– Swiggy has also launched fresh produce and grocery delivery services, allowing customers to receive fresh products at home as per their needs.
Primary Industry:
Swiggy’s main business is in the food delivery industry, though it has now established a presence in logistics and grocery delivery services as well. The company’s mission is to provide customers with fast and convenient home delivery of food and essential items.
In simple terms, Swiggy helps customers enjoy their favorite meals quickly and conveniently, so they don’t have to go out and can savor delicious food from the comfort of their homes.
A glimpse of Swiggy Limited’s key operations
Reasons for Swiggy Limited’s IPO
Swiggy Limited may have several key reasons for launching an Initial Public Offering (IPO). Generally, companies initiate an IPO to raise capital from investors, allowing them to expand and grow their business. For Swiggy Limited, the reasons for an IPO might include:
1. Raising Capital
Through the IPO, Swiggy can gather funds from public investors, which can be utilized for new projects, building manufacturing plants, upgrading technology, and strengthening the company’s infrastructure.
2. Business Expansion
The company aims to expand its operations into more areas. Funds raised from the IPO can help Swiggy enter new markets and serve a larger customer base.
3. Debt Repayment
Many companies use IPO proceeds to pay off old debts, which strengthens the balance sheet and supports long-term growth.
4. Enhancing Brand Credibility
Becoming a public company boosts the brand’s credibility and reliability. This instills confidence among investors and potential customers that the company is in a strong and stable financial position.
5. Dilution of Promoter’s Stake
An IPO may reduce the stake held by the company’s promoters, providing an opportunity for new investors to buy shares in the company.
Through these motivations, Swiggy Limited aims to achieve its future goals by launching an IPO.
IPO Amount
Swiggy Limited IPO is ₹ 11,327.43 crores.
IPO Details
- Price Range: ₹371 to ₹390 per share
- Minimum Quantity: 38 shares
- IPO Open Date: November 06, 2024
- IPO Close Date: November 08, 2024
- Basis of Allotment Finalisation Date: November 11, 2024
- Initiation of Refunds: November 11, 2024
- Credit of Shares to Demat Account: November 12, 2024
- IPO Listing Date: November 13, 2024
Based on these important dates, you can plan your investment and allotment process for the IPO accurately.
Subscription Status
You can check the IPO subscription status by visiting the NSE or BSE website. Here, you will find information on how many times this IPO has been subscribed.
As of today, November 07, Swiggy Limited IPO subscription status is 0.35 times.
Swiggy Limited IPO GMP Trend
The latest GMP (Gray Market Premium) for the Swiggy Limited IPO is ₹2. With a price band of ₹390, the estimated listing price for the Swiggy Limited IPO is ₹392 (issue price + today’s GMP). The expected profit/loss percentage per share is 0.51%.
What is GMP (Gray Market Premium)?
GMP is the premium at which IPO shares are traded informally in the gray market. This means that if an IPO’s GMP is high, there is a good chance of making a profit during its listing on the stock market.
How to Check Allotment?
To check your IPO allotment, you can visit the following registrar’s website of the company and enter your PAN number, application number, or Demat account number. You can also check the allotment status on the NSE and BSE websites.
You can use the following links to check the status:
Should You Apply?
It depends on what kind of investor you are. If you are a long-term investor and trust the company’s fundamentals and growth potential, this IPO might be beneficial for you. However, before investing in an IPO, you should evaluate your investment goals and risk tolerance.
Considering all these points, you can decide whether you should apply for the Swiggy Limited IPO or not.
