Swiggy’s Initial Public Offering (IPO) has sparked interest in the market, but early indications from the Grey Market Premium (GMP) suggest a modest outlook for the company’s stock listing. As of November 6, Swiggy’s IPO has received a tepid response, with an overall subscription rate of only 12%, according to data from the National Stock Exchange (NSE). The IPO will remain open till Friday, November 8.
The retail individual investors (RII) category received the most subscriptions (54%), followed by non-institutional investors (6%). Notably, qualified institutional buyers (QIBs) demonstrated low engagement, with only 0.00% of their quota subscribed.
One of the key indicators to assess market sentiment around an IPO is the Grey Market Premium (GMP), which reflects the price at which the stock is traded unofficially before its official listing. The GMP for Swiggy’s IPO is currently hovering in the range of ₹12-₹20 per share, as per market observers. This suggests a potential listing gain of around 3-5% from the issue price.
However, it is important to keep in mind that GMP is not always an accurate indication of bidding and investors should consider other factors like as financials, market share, and growth prospects before making a final decision.
Swiggy’s shares have been scheduled to be listed on stock markets on November 13, with share allotment for subscribers will take place on November 11.
