Swiggy lowers IPO valuation target to $11.3 billion

Swiggy, one of India’s leading food delivery and fast-food companies, has slashed its IPO price target from $15 billion to $11.3 billion. This change takes into account the recent changes in India’s IPO market and tracks investor reaction to the recent tech list. Through the IPO, Swiggy aims to raise around ₹3,750 crore, which will be primarily to fund its instant commerce arm Instamart and help pay off existing debt This capital is needed when Swiggy is looking to expand Instamart’s footprint and improve operational efficiency, especially in competition In the fast-growing space, which has grown rapidly with intense competition from rivals such as Zomato

The IPO will also allow for a partial exit from larger investors such as Prosus, Accel and Elevation Capital, creating opportunities for returns and investment for these early backers. However, these exits will be partial, meaning investors will remain confident in Swiggy’s long-term growth potential. Swiggy has grown tremendously since its inception, diversifying from food delivery to instant retail to meet India’s demand for instant delivery services

With this IPO, Swiggy seeks to establish itself as a leader in the fast-growing fast-trade sector, using the revenue to scale Instamart and strengthen its presence in the market with its’ intensifying focus on speed, agility and service expansion Represents a significant opportunity.