The Securities and Exchange Board of India (Sebi) has approved Swiggy’s plan to proceed with its initial public offering (IPO), according to sources familiar with the matter. Swiggy had submitted its offer document to Sebi on April 30 through the pre-filing (confidential) route, which means the details of the IPO are not publicly available yet. However, reports indicate that the company has increased the size of the IPO to over Rs 11,000 crore, including a fresh capital raise of Rs 5,000 crore.
Before moving forward with its IPO, Swiggy must release its updated draft red herring prospectus (UDRHP) for public review, allowing a 21-day period for feedback. After this phase, the company can proceed with the IPO.
Swiggy will be the second food delivery platform to list on the stock exchanges, following Zomato, which is currently valued at Rs 2.6 trillion, with its stock having surged by 2.3 times this year.
Sources suggest that Swiggy is targeting a November IPO launch. If successful, Swiggy will become the first company to go public via the confidential filing route. Other companies that have used this route include Vishal Mega Mart, backed by Partners Group and Kedaara Capital, Oyo, supported by Softbank, and Tata Play.