Additionally, the holding company of the food delivery and quick-commerce giant has been renamed from Swiggy Private Limited to Swiggy Limited. This change comes as the company plans to file a draft red herring prospectus in the coming months, paving the way for a $1 billion initial public offering of shares closer to the end of the year.
Swiggy is among several new-age internet companies planning to go public. In late 2023, companies such as Ola Electric, FirstCry, and Awfis filed their draft IPO papers. Additionally, Mamaearth’s parent company, Honasa Consumer, went public in November.
On February 27, Swiggy officially changed its registered name from Bundl Technologies Pvt Ltd to Swiggy Pvt Ltd. The food delivery platform stated that this change aimed to “help establish greater proximity and identification of the company’s corporate name with the company’s core brand, ‘Swiggy’.”
Ahead of filing its draft IPO papers, Swiggy is intensifying efforts to enhance its financial performance and reduce cash burn, particularly within its quick-commerce division, Instamart. The company reportedly recorded a loss of $207 million for the nine months ending December 2023, despite generating revenue of $1.02 billion. In fiscal 2023, Swiggy had reported a net loss of $501 million on operating revenue of $992 million.
In January, reports suggested that Swiggy was planning to downsize its workforce by 6 per cent, affecting 350-400 positions in departments such as technology, call centres, and corporate functions, as part of a cost-cutting initiative. Recently, Swiggy appointed Suparna Mitra, the chief executive of Titan’s watches and wearables division, as an independent director. This appointment followed the resignation of Mallika Srinivasan, chairperson of Tractor and Farm Equipment Ltd, as an independent director in February.
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