According to an investor presentation, Swiggy investor 360 One WAM, previously IIFL Wealth Management, valued the IPO-bound food and grocery delivery company at $11.5 billion in June.
Swiggy generated Rs 7,474 crore in sales in the first half of fiscal 2024, according to 360 One's presentation to clients. This equates to Rs 14,947 crore on an annualized basis for the fiscal year ending March.
Orders for food delivery alter on a cyclical basis. As a result, the ultimate sum may change and may not be known until Swiggy, which has confidentially filed for an IPO, releases its annual financial results.
This is the most recent Swiggy value known from a private investor, despite the fact that the Bengaluru-based company is preparing to go public for $1.25 billion.
On June 25, listed rival Zomato's market capitalization reached $21.5 billion, its biggest for the month. Since then, its market worth has risen to $28 billion, owing to rapid development in its quick-commerce firm, Blinkit. Swiggy's Instamart competes with Blinkit and Zepto for rapid commerce.
These valuations are periodic, and various investors may assign different values. For example, Baron Capital valued Swiggy at $14.76 billion in June, down from $15.1 billion three months earlier. However, they are still noteworthy given that the Prosus-backed startup is anticipated to receive Sebi permission in the coming weeks and make its IPO files public perhaps next month.
Swiggy last raised funding in January 2022, at a valuation of $10.7 billion.
"Swiggy is fast approaching EBITDA breakeven due to improved operating metrics and increased size. In the first half of FY24, gross order value was Rs 17,528 crore (27% YoY). The note reported 18% increase in food delivery, 57% growth in Instamart, and 188% growth in Dine Out.
Swiggy and 360 One, with a 0.4% ownership in the company, declined to comment.
Swiggy is likely to go public at a discount to Zomato's market capitalization, but the exact amount will depend on a number of factors, including its official financials and Zomato's stock price at the moment.
"It (valuation) could be anywhere in the range of $13-15 billion," a source familiar with the discussions said, adding that these are dynamic numbers and may alter closer to the IPO announcement.
In recent weeks, new-age enterprises such as Ola Electric, FirstCry, and Unicommerce have altered their values during IPO debuts, resulting in a price increase upon listing and further advances in subsequent trading sessions.
