According to BSE data, the company received bids for 13.65 Cr shares, compared to 16.01 Cr shares that were tendered for bidding
The employee segment still leads the way, with 1.34X subscriptions, with bids received at 10.05 Lakh shares against 7.50 Lakh shares reserved for them
Qualified institutional buyers bid for 9.95 Cr shares against 8.69 Cr shares offered. This resulted in an oversubscription of 1.24
Update | November 8, 2:15 p.m
Foodtech major Swiggy has seen its share of private investors fully subscribed on the third day of its IPO. The shares reserved for Retail Individual Investors (RIIs) surpassed 100% subscription with 2.95 Cr bid placed by 2:12 PM against 2.89 Cr shares on offer.
Update | November 8, 12:34 p.m
Foodtech major Swiggy’s IPO of INR 11,324 Cr continued to receive a tepid response on the third day of bidding, with the public issue subscribed by 95.42% so far.
According to BSE data, as of 12:00 PM, the company received bids for 15.32 Cr shares, compared to 16.01 Cr shares offered for bidding.
Notably, the staff segment still leads the way, at 1.34X subscriptions, with bids received for 10.05 Lakh shares against 7.50 Lakh shares reserved for them.
Qualified institutional buyers bid for 9.95 Cr shares against 8.69 Cr shares offered. This resulted in an oversubscription of 1.24.
Next was the portion reserved for Retail Institutional Investor with 0.96X subscription. At noon, 2.78 Cr shares were bid against 2.89 Cr offered.
The shares reserved for the non-institutional investors showed the most tepid response with only 1.60 Cr shares being bid while a total of 4.34 Cr shares were offered.
The shares reserved for the non-institutional investors underperformed and only 1.60 Cr shares were bid while a total of 4.34 Cr shares were offered.
The company kicked off its three-day IPO marathon with a disappointing response from investors on Wednesday (November 6), and only 12% subscription. This was followed by the public issue being 35% subscribed by the end of the second day.
For the IPO, the company has earmarked the price range of INR 371 to INR 390 per share. At the upper end, Swiggy
aims to raise INR 11,324 Cr through the listing.
While the company increased the new issue portion of the IPO to INR 4,999 Cr, the offer for sale (OFS) was reduced slightly to 17.5 Cr shares. Early investors in the likes of Accel India and Elevation Capital will earn returns over 34x by partially divesting its shares through OFS.
It is pertinent to note that Swiggy secured INR 5,085 Cr from anchor investors on 5 November.
With the foodtech major set to make its IPO on BSE and NSE on November 13, analysts at SBI Securities and Bajaj Broking have assigned Swiggy’s IPO a ‘subscribe’ rating from a long-term investment perspective.
It is notable that the company is going ahead with its IPO despite ongoing financial losses. Swiggy’s consolidated net loss increased over 8% YoY to INR 611 Cr in the June quarter (Q1) of FY25, while operating income increased 35% YoY to INR 3,222.2 Cr.
On the other hand, its archrival Zomato is already a profitable company and outperforms Swiggy in most metrics across food delivery, e-commerce and outbound verticals.
