New Delhi, Dec. 12 -- Swiggy Ltd's large Rs.10,000 crore qualified institutional placement (QIP) comes barely a year after its initial public offering (IPO). For investors, this appears to be a message that the company is eager for capital.

Swiggy had raised about Rs.4,500 crore during its IPO in November 2024. Now, within 13 months, the company is back for another Rs.10,000 crore, and at a price floor of Rs.390.50 per share vis-a-vis Thursday's closing price of Rs.401.20. With nearly 270 million new shares being issued, existing shareholders face almost 10% dilution in a single year. Long-term investors love compounding, but equity dilution eats into the gains.

Why does Swiggy need more money?

Upon examining the financials, the reason...