Day 2 subscription status for Swiggy's IPO: Issue booked 35%, retail leads 84%; GMP continues to decline

According to Swiggy's IPO GMP, the company's shares would have a modest listing gain on exchanges on November 13.

On the second day of the share sale on November 7, Swiggy's initial public offering (IPO) was 35% subscribed. Based on information provided by the NSE, the food delivery and quick-commerce giant's first share offering had bids for 5.56 crore shares out of the 16 crore shares available.

84 percent of the retail individual investor (RII) quota was subscribed, compared to 14 percent for the non-institutional investor portion. While the employees' book was subscribed 1.15 times, the eligible institutional purchasers placed a bid for 28% of the shares in their reserved portion.

Previously, anchor investors gave the Bengaluru-based company Rs 5,085 crore.

The Swiggy IPO GMP predicts a modest listing increase for the company's shares on the exchanges on Wednesday, November 13. The company's shares are selling for a GMP in the range of Rs 6-15 on the unofficial market, which indicates a listing gain of 1-3 percent, according to IPO Watch and Investor Gain, which monitor gray market premium activities.

Up until November 8, the public can subscribe for the company's shares at a price between Rs 371 and Rs 390.

The company wants to raise Rs 11,327 crore through this IPO, which includes an offer for sale (OFS) of Rs 6,828 crore and a new issue of shares valued at Rs 4,499 crore.

Swiggy's estimated valuation at the upper price range is approximately Rs 95,000 crore. By contrast, Zomato, a competitor that went public in July 2021, is currently valued at Rs 2.25 lakh crore.

The draft prospectus states that the money raised from the new issuance will go toward debt repayment, brand marketing and business promotion, and investments in cloud infrastructure and technology. Funds are also set aside for general business needs and inorganic expansion projects.