Swiggy gig workers
Credit: Reuters Photo
Swiggy, the online food ordering and delivery company, will be valued as high as Rs 87,430 crore at upper end of IPO price band as per a term sheet.
Swiggy will likely price its $1.35 billion (Rs 11,350 crore) domestic initial public offering, which opens next week, at Rs 371-390 per share, sources with direct knowledge of the matter told Reuters.
The IPO will open for subscription from November 6 to November 8, the company's red herring prospectus dated Monday showed. Anchor investors will bid for shares on November 5.
Swiggy is expected to list its shares on November 13.
The share sale will be the country's second-biggest stock offering this year, behind Hyundai Motor India's $3.3 billion IPO earlier this month, which had seen subdued interest from retail investors.
The food and grocery delivery firm, which competes with listed rival Zomato, will sell new shares worth Rs 4,499 crores ($535.14 million), more than the Rs 3,750 crore originally planned.
Existing shareholders including Prosus and Tencent are selling a total of 175.1 million shares.
Swiggy has in recent weeks cut its internal valuation goal twice by a combined 25 per cent due to volatility in the Indian stock markets. It was initially looking at a valuation of as much as $15 billion (Rs 1.26 lakh crore), but following those cuts, it is now targeting $11.3 billion (Rs 95,000 crore).