Swiggy raises ₹10,000 crore via QIP, cash balance touches ₹17,000 crore

Out of more than 80 investors who showed interest, allocations were made to 61 investors, of which over 15 are new shareholders, according to the company

Food and grocery delivery company Swiggy has completed raising ₹10,000 crore via a qualified institutional placement (QIP). The company stated the QIP saw a strong and diversified participation from global and domestic institutional investors, which included 21 mutual funds, eight domestic insurance companies, and 50 global investors. With the recent fundraise, the company’s cash balance now stands at around ₹17,000 crore.

 

“This is one of the largest transactions in the Indian consumer-tech space. It is also the 2nd largest QIP by a non-banking company ever in India. QIP saw healthy interest from all pools of capital across domestic mutual funds (MF), domestic insurance companies, sovereign wealth funds, and foreign institutional investors – underscoring investor’s confidence in Swiggy’s story,” the company said in a stock filing.

 

Out of more than 80 investors who showed interest, the allocations were made to 61 investors, of which over 15 are new shareholders, according to the company. Some of the mutual funds that participated were SBI MF, ICICI Prudential MF, HDFC MF, Nippon India MF, Kotak MF, Mirae MF, Axis MF, and Birla MF. The domestic insurance companies included ICICI Prudential Life Insurance and HDFC Life Insurance, and global investors included Capital Group, government of Singapore, BlackRock, Nomura Asset Management, Temasek, Fidelity and Goldman Sachs Asset Management.

 

Commenting on the fundraise, Sriharsha Majety, managing director and group chief executive officer of the company, said, “The strong response to our QIP from both global and domestic institutional investors, including new investors since our IPO last year, reflects deep confidence in Swiggy’s business fundamentals, disciplined execution, and long-term value creation road map.”

 

Majety added that the additional capital will provide the company with the flexibility to strengthen its core businesses, scale its quick commerce (qcom) business, while maintaining financial prudence, and invest in further innovation.

 

According to the filings, Swiggy intends to use the majority of the proceeds, ₹4,475 crore for expansion and operations of its qcom fulfilment network, about ₹2,340 crore for brand marketing and business promotion, and ₹985 crore in technology.

 

The issue was launched on December 9 and closed on December 12. The issue price was at ₹375 per equity share, a 4 per cent discount to the floor price of ₹390.5 per equity share.

 

In FY25, the consolidated cash balance for Swiggy stood at ₹6,695 crore, compared to ₹5,370 crore in FY24. With the recent fundraise, the cash balance is currently around ₹17,000 crore. In the case of Eternal, the closing cash balance in Q2FY26 was at ₹18,314 crore, compared to ₹18,857 crore in the previous quarter.