Swiggy is making its stock market debut today, marking a significant moment of wealth creation. This initial public offering (IPO) will transform about 5,000 of the company’s employees into ‘crorepatis,’ as it is expected to generate a total of Rs 9,000 crores for them, according to a report from Money Control. This payout is a reward for their role in helping the food delivery giant grow from a small firm into a highly profitable company.
The employee stock option (ESOP) payout associated with this IPO is likely the largest among Indian startups to date. Swiggy’s shares will begin trading today. Last week, the company’s $1.3 billion share sale was subscribed over three times in the primary market during the period of November 6 to November 8. The IPO, valued at Rs 11,327 crores, was fully subscribed on the final day, with a total subscription rate of 3.59 times. Shares were priced between Rs 371 and Rs 390 each.
Swiggy has reportedly raised over Rs 5,000 crores from investors and plans to use the capital from this fresh issue to promote its business, enhance technology, and improve cloud infrastructure and marketing efforts.
The online food delivery market has experienced remarkable growth over the past six years, expanding from Rs 112 billion in 2018 to Rs 640 billion in 2023. This surge demonstrates the increasing potential of quick commerce and the thriving digital economy.
