in

Swiggy’s $1 billion IPO could include Prosus as promoter

News update

Process, Swiggy’s major shareholder, may get promoter status in the IPO. Prosus, the Dutch investment arm of South African conglomerate Naspers, is seeking to reduce its 33% stake in Swiggy below 26%. However, talks about reducing the stake have hit obstacles.

Under Indian regulations, a stake of 26% or more determines the promoter subject to post-IPO share sale restrictions. Swiggy’s expected $1 billion IPO is expected to include an offer for sale of $600 million from existing investors.

In October 2023, US asset manager Invesco raised Swiggy’s valuation to $8.3 billion from $7.85 billion, valuing its two percent stake at $147.6 million. Bengaluru-based Swiggy expects to go public with its profitable food delivery business in July-September. However, its grocery store, Instamart, is still making losses.

Swiggy’s market share in 1H2023 was 46%, with Zomato as its main competitor. Zomato’s July 2021 IPO, which launched at Rs 72-76 per share, saw strong investor response. «In the first half of 2023, Swiggy and Zomato dominated the market share.»

Follow Startup Story

Recommended Article
Mahindra-backed Rocksport raises $30 million in funding

What do you think?

Deja una respuesta

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *

GIPHY App Key not set. Please check settings

Brownlow Hill: Light aircraft from flying school crashes in south-west Sydney

Anthony Albanese’s phase 3 tax relief changes winners and losers revealed: How much of YOUR money you want to keep – as Labor approves controversial plan