Swiggy converts to public company ahead of its IPO
What's the story
Swiggy, a leading food delivery platform, has transitioned from a private limited company to a public limited one.
This change signifies its aspiration to become a publicly-traded entity.
The firm's official name has been changed from 'Swiggy Private Limited' to 'Swiggy Limited,' according to documents submitted to the Registrar of Companies.
This strategic shift is part of Swiggy's preparations for its initial public offering (IPO) expected later this year.
Market trend
Swiggy's move reflects larger trend among Indian start-ups
Swiggy's decision to go public is in line with a broader trend among emerging start-ups in India seeking public listings.
Recently, firms such as Ola Electric, FirstCry, Awfis, and Honasa Consumer ( parent company of Mamaearth) have also initiated their draft IPO filings.
This move by Swiggy underscores the growing ambition of Indian start-ups to tap into the public market for expansion and growth.
Business strategy
Swiggy's rebranding journey and financial performance
In February 2023, Swiggy rebranded itself from 'Bundl Technologies Pvt Ltd' to 'Swiggy Pvt Ltd.'
This was done to strengthen its brand identity and emphasize its core business of food delivery.
As part of its IPO preparation, the company is focusing on improving its financial performance and reducing cash burn.
For the nine months ending December 2023, Swiggy reported a loss of $207 million on revenue of $1.02 billion.