Last Updated:November 13, 2024, 11:23 IST

Swiggy IPO Listing: Swiggy made its entry with an 8% premium, debuting at Rs 412 per share against an issue price of Rs 390.

Swiggy IPO Listing: In a surprising and heartwarming twist to one of India’s fiercest corporate rivalries, Zomato extended a sweet gesture toward Swiggy on Wednesday as the latter made its debut on the stock exchanges. In a post on X (formerly Twitter), Zomato shared, “You and I… In this beautiful world ,” directly tagging Swiggy.

The message, a seemingly simple yet profound acknowledgement of their shared space in the world of online food delivery, struck a chord with audiences across social media.

In another post on X, It also said, ‘It’s giving jai and veeru’.

Swiggy, which had announced its long-anticipated initial public offering (IPO), was listed on the BSE and National Stock Exchange (NSE) today. It made its entry with an 8% premium, debuting at Rs 412 per share against an issue price of Rs 390. The listing reflects the market’s enthusiasm toward Swiggy, marking a major milestone in its growth story.

A Healthy Rivalry?

Zomato and Swiggy, often locked in a competitive battle for the market’s top spot, have historically been vocal about their unique approaches to customer engagement, delivery innovation, and restaurant partnerships. Both platforms are known for their lighthearted social media exchanges.

This level of camaraderie is not always common in corporate India, especially within industries as cutthroat as food delivery.

Swiggy’s IPO Journey and Market Reaction

The Swiggy IPO listing was a much-anticipated event, with investors closely watching its journey, especially following the successful IPO of Zomato in 2021. The issue price was set at Rs 390, and Swiggy’s shares opened on the BSE and NSE at Rs 412 — a robust 8% jump that indicates investor confidence in the brand’s growth prospects and resilience in an increasingly competitive space.

An investigation by India’s antitrust body found food delivery giants Zomato and SoftBank-backed Swiggy breached competition laws, with their business practices favouring select restaurants listed on their platforms, documents show.

Zomato entered into “exclusivity contracts” with partners in return for lower commissions, while Swiggy guaranteed business growth to certain players if they listed exclusively on its platform, according to non-public documents prepared by the Competition Commission of India (CCI).

Exclusivity arrangements between Swiggy, Zomato and their respective restaurant partners “prevent the market from becoming more competitive,” the CCI’s investigation arm noted in its findings reviewed by Reuters on Friday.

The antitrust investigation against Swiggy and its top rival Zomato began in 2022 after a complaint by National Restaurant Association of India about the impact on food outlets of alleged anti-competitive practices of the platforms.

The CCI documents are not public, in line with its confidentiality rules, and were shared with Swiggy, Zomato and the complainant restaurant group in March 2024. Their findings have not been previously reported.

Zomato declined to comment, while Swiggy and the CCI did not respond to Reuters queries.

Shares in Zomato fell three percent after the Reuters report, from being flat in earlier trade.

The CCI case is mentioned as one of the “internal risks” in Swiggy’s IPO prospectus, which says “any breach of the provisions of Competition Act, may attract substantial monetary penalties.”

The CCI report noted that Swiggy told investigators the “Swiggy Exclusive” program was phased out in 2023, but the company “is planning to launch similar program (Swiggy Grow) in non-metropolitan cities.”

Food delivery giants Swiggy and Zomato have in recent years reshaped how Indians order food, as hundreds of thousands of outlets listed on their apps just when smartphone use, and online ordering, both grew rapidly.

Swiggy, which on Friday is closing bids for its $1.4 billion (roughly Rs. 11,811 crore) IPO – India’s second biggest this year, and Zomato both in recent years also pushed restaurants to maintain a parity on prices, directly reducing competition in the market by preventing restaurants offering lower prices on other online platforms, the CCI documents stated.

Zomato was found to have imposed pricing and discount restrictions on restaurant partners, and in some cases included a “penal provision” if the outlet failed to comply.

Some of Swiggy’s partner restaurants were “threatened that their rankings will be pushed down, if they do not maintain price parity,” the CCI’s investigation arm noted.

The next, and final phase, of the CCI case is a decision by the CCI leadership which is still reviewing the investigation findings to decide on any penalty or order changes to Swiggy’s and Zomato’s business practices.

That decision could take several weeks, and the companies still have the option of contesting the investigation findings with the CCI.

Zomato, which listed in 2021, has seen its shares more than triple to a valuation of about $27 billion amid rising demand. Swiggy is valuing itself at $11.3 billion in its IPO.

Macquarie Capital estimates Swiggy’s food order values in 2024-25 will be $3.3 billion, roughly 25% below Zomato’s.

Both are now diversifying fast into quick commerce where groceries are delivered in as little as 10 minutes.

India’s biggest group of retail distributors has asked the antitrust authority to investigate quick commerce businesses of Zomato, Swiggy and another rival Zepto for alleged predatory pricing, Reuters reported last month.

© Thomson Reuters 2024

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

An investigation by India’s antitrust body found food delivery giants Zomato and SoftBank-backed Swiggy breached competition laws, with their business practices favouring select restaurants listed on their platforms, documents show.

Zomato entered into “exclusivity contracts” with partners in return for lower commissions, while Swiggy guaranteed business growth to certain players if they listed exclusively on its platform, according to non-public documents prepared by the Competition Commission of India (CCI).

Exclusivity arrangements between Swiggy, Zomato and their respective restaurant partners “prevent the market from becoming more competitive,” the CCI’s investigation arm noted in its findings reviewed by Reuters on Friday.

The antitrust investigation against Swiggy and its top rival Zomato began in 2022 after a complaint by National Restaurant Association of India about the impact on food outlets of alleged anti-competitive practices of the platforms.

The CCI documents are not public, in line with its confidentiality rules, and were shared with Swiggy, Zomato and the complainant restaurant group in March 2024. Their findings have not been previously reported.

Zomato declined to comment, while Swiggy and the CCI did not respond to Reuters queries.

Shares in Zomato fell three percent after the Reuters report, from being flat in earlier trade.

The CCI case is mentioned as one of the “internal risks” in Swiggy’s IPO prospectus, which says “any breach of the provisions of Competition Act, may attract substantial monetary penalties.”

The CCI report noted that Swiggy told investigators the “Swiggy Exclusive” program was phased out in 2023, but the company “is planning to launch similar program (Swiggy Grow) in non-metropolitan cities.”

Food delivery giants Swiggy and Zomato have in recent years reshaped how Indians order food, as hundreds of thousands of outlets listed on their apps just when smartphone use, and online ordering, both grew rapidly.

Swiggy, which on Friday is closing bids for its $1.4 billion (roughly Rs. 11,811 crore) IPO – India’s second biggest this year, and Zomato both in recent years also pushed restaurants to maintain a parity on prices, directly reducing competition in the market by preventing restaurants offering lower prices on other online platforms, the CCI documents stated.

Zomato was found to have imposed pricing and discount restrictions on restaurant partners, and in some cases included a “penal provision” if the outlet failed to comply.

Some of Swiggy’s partner restaurants were “threatened that their rankings will be pushed down, if they do not maintain price parity,” the CCI’s investigation arm noted.

The next, and final phase, of the CCI case is a decision by the CCI leadership which is still reviewing the investigation findings to decide on any penalty or order changes to Swiggy’s and Zomato’s business practices.

That decision could take several weeks, and the companies still have the option of contesting the investigation findings with the CCI.

Zomato, which listed in 2021, has seen its shares more than triple to a valuation of about $27 billion amid rising demand. Swiggy is valuing itself at $11.3 billion in its IPO.

Macquarie Capital estimates Swiggy’s food order values in 2024-25 will be $3.3 billion, roughly 25% below Zomato’s.

Both are now diversifying fast into quick commerce where groceries are delivered in as little as 10 minutes.

India’s biggest group of retail distributors has asked the antitrust authority to investigate quick commerce businesses of Zomato, Swiggy and another rival Zepto for alleged predatory pricing, Reuters reported last month.

© Thomson Reuters 2024

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

Mumbai: Deepinder Goyal, the CEO of food e-commerce platform, recently graced the latest episode of the streaming sketch comedy show ‘The Great Indian Kapil Show’ along with his wife Gia Goyal, businessman Narayana Murthy, and his wife Sudha Murthy, who is the Rajya Sabha member.

During the episode, Kapil spoke about the flirtatious push notification that Deepinder’s Zomato app sends to its customers.

Kapil said, “The notifications of their company are so flirty. It feels like a girlfriend and boyfriend are talking to each other”.

He then went on to show some of the push notifications as the audience cracked up in the awe of copywriters who write such push notifications.

Kapil then asked Deepinder, “You were actually typing this message for your customers or you were typing for Gia and by mistake you sent it to us?”.

Deepinder said, “A couple of times it happened that I typed for Gia, and I thought I’ll send them a nice notification. But not much. Let me tell you what happened. Our marketing team is very young. They don’t have any background in marketing. They are passionate people”.

He added, “So, I briefed them one day to make a relationship with the customer. Even I didn’t know what it meant. I don’t have any marketing background. I read a book and it said to make a relationship with the customer. I told them. They took me seriously”.

Meanwhile, Kapil’s show also stars Sunil Grover, Krushna Abhishek, Kiku Sharda, Rajiv Thakur and Archana Puran Singh. Season 2 promises to celebrate India and its rich culture with the superstars of the country.

The format of ‘The Great Indian Kapil Show’ is largely identical to that of Sharma’s former shows ‘The Kapil Sharma Show’ and ‘Comedy Nights with Kapil’. The Great Indian Kapil Show stream on Netflix.

New Delhi: Deepinder Goyal, co-founder and CEO of Zomato recently took to the streets of Gurgaon, stepping into the role of a food delivery executive. Goyal was dressed in the signature company uniform along with his wife Grecia Munoz. They hopped onto a bike to personally deliver orders. By experiencing the daily challenges of his delivery partners firsthand, Goyal joins a growing list of CEOs who believe in understanding their businesses from the ground up.

Deepinder Goyal shared his recent experience on Instagram, saying, “Went out to deliver orders a couple of days ago, teaming up with,” tagging his wife. The CEO posted a series of photos showcasing their journey. One image shows them riding a bike, while another captures them checking a mobile phone, likely searching for a delivery address. Rest of the pictures feature the couple interacting with customers during their food delivery stint.

Take a look at the post

Here’s How Users Responded:

One user commented, “Not a regular billionaire.”

Another praised, “Winning at life & business.”

“Different way of doing marketing,” wrote a third user.

A fourth user added, “@deepigoyal You are an inspiration.”

New Delhi: Zomato’s co-founder and Chief People Officer, Akriti Chopra, has stepped down from her position effective immediately, concluding her 13-year journey with the food delivery giant. The company announced this news to the stock exchange on September 27.

“Pursuant to Regulation 30 of SEBI Listing Regulations, we would like to inform that Ms. Akriti Chopra, CoFounder & Chief People Officer designated as Senior Management Personnel (“SMP”), has tendered her resignation w.e.f. September 27, 2024,”the company stated.

Chopra joined the company in 2011 as a senior manager of finance and operations. She eventually served as the chief financial officer until 2020, when Akshant Goyal took over that position. Most recently, she held the title of chief people officer at Zomato.

In her resignation email, Chopra wrote, “Deepi, As discussed, formally sending in my resignation effective today, September 27, 2024. It’s been an incredibly enriching journey over the past 13 years. Thank you for everything. I’m always a call away. Wishing you and Eternal, the very best.” This message was shared on the stock exchange.