Swiggy: Stock in focus as Rs 10,000 cr QIP kicks off; floor price at Rs 390.51 per share

Shares of Swiggy Ltd are in focus on Wednesday morning, as the online food delivery platform post market hours of Tuesday announced the kick start of its proposed Rs 10,000-crore qualified institutional placement (QIP). Swiggy set the floor price for the issue at Rs 390.51 per share, based on the pricing formula as prescribed under the SEBI ICDR Regulations, which was at 2 per cent discount to Tuesday's closing price. 

"Pursuant to Regulation 176(1) of the SEBI ICDR Regulations and the approval of the shareholders, accorded through a special resolution at the Extra-ordinary General Meeting held on December 08, 2025, the company may offer a discount of not more than 5 per cent on the floor price so calculated for the issue," Swiggy said.
The QIP comes as Swiggy shares are down 27 per cent in 2025 so far compared with an 8-9 per cent rise for the NSE Nifty and the BSE Sensex during the same period.

Swiggy’s board had on November 7 approved raising funds of up to Rs 10,000 crore through public or private offerings, in one or more tranches, including via a qualified institutions placement or any other route permitted under applicable laws, subject to requisite approvals.

BNP Paribas India, which recently met investors in Hong Kong and Singapore, said long-term optimism around India’s quick commerce remained intact, although concerns persisted over near-term competitive intensity following Zepto’s equity raise and Swiggy’s proposed QIP. The brokerage noted that investors displayed a clear positive tilt towards Eternal and preferred to see stronger execution from Swiggy’s Instamart before assigning it any meaningful valuation.

BNP Paribas said investors acknowledged Swiggy’s pioneering role in the sector but felt its execution had lagged Eternal’s. While they agreed the implied valuation of the quick commerce division at the current stock price was low, some investors argued that achieving Ebitda breakeven would be difficult and were not inclined to ascribe much value to Instamart.

According to investors, the key for Swiggy Instamart would be to maintain its growth trajectory, deliver contribution breakeven within the guided timeline and move towards adjusted Ebitda breakeven. BNP Paribas added that discussions also centred on Swiggy’s planned QIP, potential deployment of funds and whether this implied higher cash burn or an acceleration in dark-store additions.

In a note last month, Nuvama Institutional Equities said Swiggy’s financial position was strengthened by nearly Rs 7,000 crore in cash, including proceeds from the Rapido stake sale, and its plan to raise up to Rs 10,000 crore through a qualified institutional placement.

After a phase marked by strategic missteps, the company appeared positioned for recovery, Nuvama said, with Food Delivery now outpacing Zomato in growth and contributing to market share stability and margin improvement. Nuvama added that Swiggy’s Food Delivery business had become the primary value driver, citing its superior operational scale and profitability. In its sum-of-the-parts framework, the brokerage assigned the bulk of value to the Food Delivery vertical on account of its scale and profitability profile.