Swiggy plans its IPO around 2024 festive season: Report
Swiggy is planning to go for public this year, as per a report by Entrackr, which added that the food delivery platform will file papers for its IPO by May and ultimately list around the festive season. Swiggy will seek valuation in the range of $12-15 billion, the report said quoting sources.
The foodtech and quick commerce platform is exploring a secondary market deal as it wants to offer exits to its early as well as late-stage backers, as per the report. “Swiggy is likely to go for an IPO in the second half of this year and the secondary transaction appears to be an attempt to spruce up its cap table,” a source told Entrackr. Swiggy will be seeking its last primary valuation in the potential secondary transaction, it added.
In the beginning of March, Baron Capital, a US-based fund manager, revised the value of its stake in Swiggy to $87.2 million, indicating a valuation of $12.16 billion for the hyperlocal commerce unicorn as it gears up for its upcoming IPO.
Now ahead of the potential run to Dalal Street, Swiggy is trying to improve its unit economics. The Entrackr report said that the company seems to be achieving a steady 25-30% year-on-year growth in FY24.
The company’s key focus is on turning profitable and for that it has improved its EBITDA margins which registered at -1.9% and -109.5% for the food delivery biz and Instamart, respectively during the nine-month period, compared to -17.5% and -259% in FY23.
https://www.cnbctv18.com/business/companies/swiggy-ipo-2024-festive-season-19375911.htm
