In a significant move ahead of Swiggy's highly anticipated initial public offering (IPO), renowned actress madhuri dixit has made a substantial investment in the food delivery giant. Along with Ritesh Malik, the founder of co-working space Innov8, Dixit has pooled a total of ₹3 crore for this investment, each contributing ₹1.5 crore. The shares were acquired at a price of ₹345 each through the secondary market, and the transaction was facilitated by Avendus, Swiggy's investment banker.
Growing Celebrity Interest
This investment not only highlights madhuri Dixit's interest in the burgeoning startup ecosystem but also makes her the second celebrity investor in swiggy, following amitabh bachchan, who purchased a stake in the company in august of this year. Such investments by high-profile figures underscore the increasing attraction of the food delivery sector among celebrities and investors alike.
Upcoming IPO and Financial Strategy
Swiggy is reportedly preparing for a massive IPO that aims to raise approximately $1.4 billion (around ₹11,664 crore) in total funds. Initially, the company had intended to raise ₹3,750 crore (approximately $450 million) through a fresh issue, but recent updates indicate that this figure has now been revised to ₹5,000 crore (about $600 million). This increase reflects Swiggy’s strategic move to bolster its cash reserves in a highly competitive market.
The company's financial performance has shown promising growth; for the fiscal year 2024 (FY24), Swiggy's revenue surged by 36%, reaching ₹11,247 crore, compared to ₹8,265 crore in the previous fiscal year (FY23). Notably, its losses also saw a significant decline of 44%, dropping from ₹4,179 crore in FY23 to ₹2,350 crore in FY24. This improvement is attributed to enhanced expense management and operational efficiencies.
Market Position
The indian food delivery market is predominantly led by two major players: swiggy and zomato, which together command about 90-95% of the industry’s market share. zomato successfully launched its own IPO in 2021, setting a precedent that swiggy aims to follow with its forthcoming public offering.
Madhuri Dixit's investment not only reflects her personal interests but also positions her as part of the evolving landscape of celebrity involvement in the indian startup ecosystem. As the market continues to expand, both swiggy and zomato are poised to play critical roles in shaping the future of food delivery services in India.