US-based fund manager Invesco has raised the valuation of Swiggy to $7.85 billion in a recent assessment, marking a 42 percent increase from its prior valuation but still 30 percent lower than the valuation in January 2022. Invesco had earlier led a $700 million funding round for Swiggy in January 2022 when it was valued at $10.7 billion. However, market conditions and growth expectations have shifted since then.
With this valuation adjustment, Swiggy’s worth now closely matches that of its rival, Zomato, which was valued at approximately $7.7 billion as of July. Zomato has seen its share price surge over 30 percent, now exceeding $11 billion in value. Swiggy, also working towards an IPO in 2024, has been taking steps to enhance its financial performance by introducing platform fees on food orders to move toward profitability.
This isn’t the first time Swiggy’s valuation has been reevaluated; in August, Baron Capital, a US-based asset management company, increased Swiggy’s fair value by 34 percent to $8.5 billion.
Invesco holds 24,844 shares in Swiggy, with each share valued at $7,666 in January 2022. The share price fell to $3,306 in January of the following year, when Invesco assessed Swiggy at $5.5 billion. As of July 31, each of Swiggy’s shares is valued at $4,703.
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Swiggy’s management remains focused on consumer satisfaction rather than the fluctuations in external valuation. CEO Rohit Kapoor noted that these valuation changes are part of standard fund reporting mechanisms beyond the company’s control.
