Table of Contents
Introduction
Swiggy IPO – Swiggy Is a food delivery company it delivers food from restaurants to clients’ homes, workspaces or colleges. The startup was founded in 2014 in Bengaluru, India. Irrespective of the type of food or beverages, they sell lists on the app of all local food restaurants. Through the application, all the customers place orders. According to the information gathered from the sources, Is Swiggy Listed In Stock Market? Funding, IPO, and Acquisitions!
Is Swiggy Coming With An IPO?
How Is Swiggy Expanding Its Business?
It acquired five companies in its history, with dine-out being the latest purchase for $200 million. Here is a list of companies that swiggy has developed over the years: Dineout, kint, Supr Daily and 48 East. Forty investors funded swiggy, according to Crunchbase. And also, Among them are 14 lead investors.
EquityZen is Wellington Management, Tencent Holdings, Samsung Ventures, Accel, Norwest Venture Partners & SAIF Partners, Some of the venture capital firms that have funded the billion-dollar startup.
Is Swiggy Listed In the Stock Market?
Swiggy considers being publicly listed in India if it’s available on the National Stock Exchange or the Bombay Stock Exchange.
Note: Some pre-IPO companies are also listed on unlisted markets. You can find stock prices of unlisted companies on websites like Altius Invetech, Unlistedzone.com, etc.
Swiggy’s main competitor Zomato is listed on NSE and BSE. He joined Swiggy four years ago, in 2010. Zomato went public in July 2021 at $72 – INR 76 and opened at a premium of INR 126 per share. Since the listing, there has been a steady decline in the company’s share price. Swiggy and Zomato hold a 90 per cent market share in the food delivery market in India.
When Will Swiggy Go Public?
Swiggy is planning on going public in future in 2023, as per Economic Times. Swiggy IPO expects to bring in 1 billion dollars through a public listing.
While Swiggy may not list at the moment, it plans to launch a Swiggy IPO for the financial year. 2023, ICICI Securities and J.P. Morgan as lead manager to launch the IPO.
What Is An Example Of An IPO?
An initial public offering, or an IPO, happens when a private company decides to go public and makes its shares available on the public Market for the first time. Many well-known companies, such as Meta (Facebook) and General Motors, have gone through the IPO process. Thus, going public is attractive to many private companies because they can raise a lot of capital in the public Market. As per the information gathered from the sources Initial Public Offering: What Is an IPO?
What Is the Swiggy IPO Process?
The steps for going from a private company to a public company include the following:
1. Finding an Underwriter or Investment Bank
2. Due Diligence and Filing
3. Setting a Price
4. Launching the IPO
5. Stabilizing the Share Prices
6. Competing in the Market
1. Finding an Underwriter or Investment Bank
It is important to choose an investment banking company that has a good reputation and can distribute the company’s first shares to an audience, e.g. B. institutional investors versus smaller or individual investors.
2. Due Diligence and Filing
In this step, the company and the investment bank agree on their preferred type of underwriting. For example, an investment bank may decide to buy all of the company’s stock and pay the company an agreed amount or try to sell as many stocks as possible without guarantees.
3. Setting a Price
The IPO stock price determines by the company’s goals, the company’s financial model for future growth and profitability, the economy’s state, and the roadshow’s progress. In a roadshow, the investment bank presents the IPO to potential investors to gauge interest.
4. Launching the IPO
The SEC must approve an IPO before it can launch, but if the SEC gives its blessing and the company and investment bank have agreed to all the terms and share pricing, the company is ready to hit the Market. Often, the IPO is announced in advance, so investors know when to be prepared to buy shares.
5. Stabilizing the Share Prices
The SEC must approve an IPO before it can begin, but once the SEC gives its blessing and the company and the investment bank have agreed on all terms and share prices, the company is ready to go public. IPOs are often announced well in advance, so investors know when to be prepared to buy shares.
6. Competing in the Market
At this point, the private company is now considered fully public, and the investment bank relinquishes control of the share price to the public Market. While the bank may continue to work with the company as an advisor, the share price is now entirely dependent on the Market.
What Is The IPO Listing Price?
How Is The Listing Price Of An IPO Determined?
- The quoted price is the initial price of a stock when it is first listed on the stock exchange. Then comes the initial public offering, which usually lasts for three days.
- During these three days, private investors can subscribe to shares. Before proceeding, you must understand that the list price is not the same as the asking price.
- These are two completely different values. To do this, let us consider the two existing markets, i.e., the primary and secondary Markets.
- The primary Market is the marketplace for new releases. It is where companies collect money from the public in exchange for shares. In the secondary market, investors buy shares from other investors.
- The offering price for an IPO is first determined by the investment bank participating in the IPO and used in the primary Market.
- The secondary market’s demand and supply of shares determine the listing price. Between them is the list price.
- This number derives from all orders received for the shares when they first offer on the stock exchange. It is known as pricing.
The Importance Of IPO Ratings For Investors – Swiggy IPO
If you decide to bid on an initial public offering, you should be familiar with the evaluation process for the following reasons:
- It affects the issue price of the IPO. It is the price at which you buy the shares. When participating in an IPO, it is always helpful to know if you are paying more or less than the asset’s value, i.e. the shares.
- The ratings give investors a clear picture of the company’s prospects. It is important because if you want your investment to grow, your business must evolve too. Therefore, it must have potential growth opportunities.
- An objective review allows you to cut through the hype, advertising, and unsolicited advice from various agencies. Researching a company’s financial statements gives you a clear and transparent picture.
Does Swiggy IPO Deliver Good Returns?
Zomato’s impressive listing and strong performance in the Indian markets gave SoftBank founder Masayoshi Son confidence that Swiggy could generate “good returns” if it went public.
“If they go public, we will also see good returns here. That is our hope.
Last month, Swiggy raised $1.25 billion in funding, marking its first investment in the SoftBank Vision 2 category, boosting the Bangalore startup’s valuation by more than 50% to $5.5 billion from $3.6 billion before that. To industry sources. In this round, SoftBank invested $360-450 million in Swiggy (JPY).
In addition to the Zomato settlement, Son mentioned some other SoftBank investments in food technology, such as US-listed DoorDash and Uber Eats. He likened the battle between DoorDash and Uber Eats to Zomato and Swiggy. “Swiggy and Zomato are the two competitors with a market share of about 50:50, and we have invested in Swiggy. It is one of the largest delivery platforms in India with 20 million active users,” said Son.
Son said Swiggy has 120,000 partner restaurants and 1.5 million daily orders with 200,000 drivers. So, you’re back up or down. Recently, they have offered not only food but also other products. “The number of orders per day has increased 2.5 times in one year, and sales have increased 2.8 times,” he said.
As per media reports, Swiggy’s net loss increased by 61% to Rs. 3,768 crores in FY2020, while revenue increased by almost 125% to Rs. 2,515 crores for the year.
Swiggy IPO – Swiggy Competitor
Swiggy’s main competitor, Zomato, is already listed on BSE/NSE.
Therefore, he joined Swiggy four years ago, in 2010. Zomato went public in July 2021 for £72-76, opening at a premium of £126 per share. Since the listing, the company’s share price has steadily fallen.
Swiggy and Zomato have a 90 per cent portion of the food delivery market in India. According to NRAI (National Restaurant Authority of India), Zomato has strong dominance in the north Indian markets, and Swiggy has a stronger power in the southern part of India.
Swiggy’s Startup Story: Small Business Idea Became India’s Largest Food Delivery Service
Swiggy – Partners Startup Story
The founder of swiggy is three friends, Sriharsha Majety, Nandan Reddy, and Rahul Jain decided to start a food delivery facility. At times, there were no food delivery facilities in India, so he saw an opportunity to fill this gap in the Market.
He started delivering food to his classmates at local restaurants, and the business took off from there.
Today, Swiggy is India’s largest food delivery service, with over 50,000 restaurant partners! He pooled his resources and launched Swiggy at just Rs. 10,000.
Today, Swiggy is India’s largest food delivery service and has raised over a billion dollars in funding! In this success story column, we’ll take a quick look at Swiggy’s startup story and see what lessons we can learn from it.
Swiggy’s Founders – Swiggy IPO
The Swiggy founders, Sriharsha Majety, Nandan Reddy and Rahul Jain, created Swiggy.
Srihari Majeti
Sriharsha Majety is co-founder of Swiggy, India’s largest food delivery service. He holds a bachelor’s degree in Electrical Engineering from Birla Institute, Pilani. And he has an MBA from IIM-Calcutta.
Before founding Swiggy, he worked for an IT company for three years. Majety co-founded Swiggy with Nandan Reddy and Rahul Jain. Thus the company started as a food delivery service for restaurants in Bangalore.
He attributes Swiggy’s success to its focus on technology and data.
Nandan Reddy
Nandan Reddy, a BITS Pilani graduate, was born in Hyderabad, India. Reddy grew up in an entrepreneurial family. Reddy’s interest in business began at a young age. Reddy studied computer science at the Indian Institute of Technology Madras (IIT Madras). After graduating, he worked as a software engineer at Infosys. He left Infosys in 2009 to study MBA. Before founding Swiggy, Nandan Reddy co-founded Bundle with Sriharsha.
Raul Jain
Jain’s interest in technology began at a young age. When he was in the fifth score, he built a CPU with the help of his father.
After graduating, Jain worked as a software engineer at Microsoft in Redmond, Washington. He left Microsoft to do an MBA.
Jain co-founded Swiggy with Majety and Reddy. The company started as a food delivery service for restaurants in Bangalore.
Swiggy’s technology platform has been an integral part of its success. Thus, the company has made a sophisticated logistics system that allows for fast and efficient delivery of groceries.
Swiggy also uses the information to match customers with the right restaurants and optimize their delivery routes.
Conclusion
Swiggy is India’s favourite online food ordering and delivery platform. Swiggy’s initial challenge in 2014 was to win restaurants in a market dominated by two major competitors. And also, with increasing competition in the food delivery platform space, it’s interesting to see Swiggy venturing into spot commerce with its multi-platform customer loyalty programs. Therefore, the coming months will show how good the bet is. Swiggy accounted for nearly half of the transaction volume in the Indian online food delivery space.