Swiggy, India’s renowned online food delivery platform, entered the primary stock market with its IPO on November 6, 2024. As the Swiggy IPO unfolds, prospective investors are analyzing subscription trends, grey market premium (GMP), and market experts’ insights. This article provides a breakdown of Swiggy’s IPO details, the current subscription status, and whether investing in Swiggy is a wise decision.
Key IPO Details
| Details | Information |
|---|---|
| Swiggy IPO GMP | ₹11 premium in the grey market |
| IPO Price Band | ₹371 to ₹390 per share |
| IPO Date | November 6 to November 8, 2024 |
| Issue Size | ₹11,327.43 crore (mix of fresh shares and OFS) |
| Lot Size | 38 shares per lot |
| Allotment Date | November 9, 2024 |
| Listing Date | November 13, 2024 |
| Lead Managers | Kotak Mahindra Capital, Citigroup, Jefferies, others |
Subscription Status
On the first day of bidding, the Swiggy IPO saw a modest response:
- Retail Subscription: 0.54 times subscribed
- Non-Institutional Investors (NII): 0.06 times subscribed
- Overall Subscription: 0.12 times subscribed
Market analysts suggest that retail participation could pick up as the IPO progresses, but initial institutional interest has been lukewarm.
Should You Apply for Swiggy’s IPO?
Opinions on Swiggy’s IPO are mixed. Rajan Shinde from Mehta Equities has given a “Subscribe” recommendation, citing Swiggy’s innovative approach and strategic expansion as potential drivers of long-term growth. On the other hand, Anshul Jain of Lakshmishree Investment advises caution due to Swiggy’s valuation, which still lags behind its main competitor, Zomato. Jain recommends a “Do Not Subscribe” for short-term investors, especially those looking for immediate returns.
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Expert Opinion
The food delivery sector in India shows promise, with increasing demand for convenience and online services. However, potential investors should weigh Swiggy’s valuation, EBITDA performance, and the risk of sectoral competition before committing to the IPO.
Disclaimer
This article is for informational purposes only and does not constitute financial advice. Please consult with a financial advisor before making any investment decisions.
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