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Prosus, who is the largest investor in swiggy shares, stated that the IPO-bound company’s revenue has grown by 24% in the calendar year 2023. However, the Dutch-based investment firm didn’t disclose Swiggy’s Revenue Figures.
What Did Prosus Disclose About Swiggy?
- The Adjusted (EBITDA) improved to negative $261 million in 2023. The previous year's EBITDA was not disclosed.
- Swiggy’s Gross Order Value (GOV) grew by 26% in the calendar year 2023 and its user base reached 104 million in December 2023. It’s GOV stood at $2.6 billion in 2022.
Prosus Analysis About Swiggy's Growth
“Swiggy’s core food delivery business GOV grew by double digits on healthy order growth and higher average order value. Operating leverage improved as the business added revenue streams like restaurant advertising and introduced nominal platform fees which supported improved operational profitability.” Prosus stated in its annual report.
“The quick-commerce business GOV grew much ahead of the e-commerce industry, led by geographical penetration (now 487 active dark stores across 26 cities) and SKU (stock keeping unit) expansion (over 9,500 unique items now listed on the platform),” the investor said.
Regarding quick commerce, Prosus said Swiggy’s unit economics continued to improve because of “larger basket sizes, expanded user base, and improved operational efficiency.
Swiggy’s Latest Valuation
Prosus didn’t disclose the return on investment generated from Swiggy as the company plans for an IPO. But another investor Barron Capital marked up the fair value of Swiggy Investment to $109.2 Million on March 31, 2024.
This is a jump from $87.2 million in the previous quarter. Based on Barron’s 2% stake, this brings Swiggy’s valuation to $15.1 Billion, a 25% jump from the previous reported valuation of $12.1 Billion. Read more here.
Swiggy IPO and Valuation
Currently, the Swiggy Share price is trading around Rs 350 per share in unlisted market. This is a valuation of around $9-9.5 Billion. With this increase in valuation by the baron fund, we can expect an increase in the market valuation of Swiggy.
But with Zomato already listed in the share market, swiggy has little room for overvalued pricing. If Swiggy’s pricing is accurate and market sentiments are positive around IPO, it could be well oversubscribed. Zomato enjoys around 54% of the market share while Swiggy has around 46% market share.
Is it possible to invest in Swiggy apart from IPO?
Swiggy shares are not yet listed but they are available in the unlisted share market. With a positive market sentiment and accurate pricing, we can expect swiggy shares to get oversubscribed in the IPO.
But you can gain even more by buying pre-IPO swiggy shares. Stockify curates insights for unlisted shares and helps you make better investment decisions and generate wealth through its trading platform.
Connect here to learn more.
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