- SUMMARY :
- Swiggy is undergoing a name change from Bundl Technologies Private Limited to Swiggy Private Limited, pending approval from the Registrar of Companies.
- The management at Swiggy anticipates that this name change will enhance the company’s association with its core brand, ‘Swiggy,’ fostering better recognition and alignment.
- In preparation for its upcoming Initial Public Offering (IPO) scheduled later this year, Swiggy is poised to launch an issue with an anticipated size of $1 billion.
In preparation for its impending initial public offering (IPO), Swiggy, the food delivery giant, is set to change its registered name from Bundl Technologies Private Limited to Swiggy Private Limited. This resolution was recently passed by the company’s shareholders.
The decision aligns with the management’s belief that renaming the company will foster closer association and identification with its core brand, ‘Swiggy.’ The proposed name change is contingent upon approval from the Registrar of Companies (RoC).
This strategic move comes as Swiggy readies itself for the IPO, aiming to trade on stock exchanges under the name “Swiggy.” As part of its IPO preparations, the startup appointed Anand Kripalu as an independent director and chairperson of the board of directors in December of the previous year. Anand Kripalu, the former managing director and global CEO of Essel Propack Ltd., brings valuable leadership to the company.
Preceding these developments, Swiggy expanded its board by appointing three new independent directors in the past year: Sahil Barua, the Managing Director and CEO of Delhivery; Mallika Srinivasan, the Managing Director and Chairman of TAFE; and Shailesh Haribhakti, the Chairman of Shailesh Haribhakti & Associates. However, Mallika Srinivasan resigned from the position of Swiggy’s independent director earlier this month.
The Bengaluru-based startup is targeting a listing on the stock exchanges around mid-2024. With an anticipated size of $1 billion (INR 8,300 Cr), its public issue is already being hailed as one of the largest IPOs for a new-age tech company.
Swiggy is a key player in India’s food delivery market, where it competes with Zomato, creating a predominant duopoly. Both companies are also contending with competition from the government-backed Open Network for Digital Commerce (ONDC).
In the financial year 2022-23, Swiggy, a decacorn backed by Invesco, reported a net loss of INR 4,179.3 Cr, marking a 15% increase from INR 3,628.9 Cr in the previous fiscal year. Swiggy’s operating revenue surged by over 40% to INR 8,264.4 Cr in FY23 from INR 5,704.9 Cr in FY22, primarily driven by the expansion of its quick commerce vertical.
However, the company witnessed a notable increase in expenditures, rising over 35% to INR 12,884.4 Cr in FY23 from INR 9,574.5 Cr in the preceding fiscal year.
With a valuation exceeding $10 billion, Swiggy has garnered over $3 billion in funding to date, with support from prominent investors such as SoftBank, Prosus Ventures, and DST Global.
It’s noteworthy that Swiggy’s competitor, Zomato, has reported three consecutive profitable quarters in the current financial year.