Celebrities back Swiggy ahead of IPO, signalling growing trend in tech investments

High-profile figures from sports and entertainment are diving into Swiggy’s unlisted shares, underscoring a shift towards tech startup investments amidst fierce competition from rivals like Zomato and Zepto.

By
  • Sakina Kheriwala,
| September 25, 2024 , 11:15 am
The launch of International Logins comes when families, especially during festive seasons, want to celebrate and share moments with loved ones in India. .
The launch of International Logins comes when families, especially during festive seasons, want to celebrate and share moments with loved ones in India. .

In a notable trend that highlights the evolving landscape of investment in India’s food tech sector, a host of celebrities, including sports icons and entertainment moguls, are endorsing Swiggy, the food and grocery delivery disruptor, through its pre-IPO shares in the unlisted market.

With approximately 200,000 shares already traded, prominent figures such as cricketers Rahul Dravid and Zaheer Khan, tennis star Rohan Bopanna, filmmaker Karan Johar, and actor-entrepreneur Ashish Chowdhry are joining the fray, even as Swiggy faces stiff competition from rivals like Zomato and Zepto.

Ashish Chowdhry, founder of Disrptve Ventures and an actor, commented, “Swiggy has significantly transformed the food delivery landscape in India, and participating in their evolution promises to be highly lucrative. The company’s consistent innovation, spanning from food delivery to grocery services, has been instrumental in maintaining its competitive advantage in the industry.”

The celebrity backing is not new for Swiggy. Previously, Bollywood legends like Amitabh Bachchan and Madhuri Dixit Nene, alongside entrepreneurs like Ritesh Malik of Innov8, have also invested in the company’s pre-IPO rounds through the secondary market.

This surge in interest reflects Swiggy’s remarkable rise as one of India’s top tech startups, diversifying beyond food delivery into quick commerce and hyperlocal logistics.

Zaheer Khan, the former India cricket player, emphasized the significance of supporting innovative companies, stating, “I strongly believe in backing a brand that’s shaping the future of urban living and consumer convenience in one of the world’s fastest-growing markets.”

According to insiders, the enthusiasm from sports and entertainment figures for Swiggy’s shares illustrates a broader trend where high-net-worth individuals are diversifying their portfolios by investing in high-potential tech startups.

Experts note that pre-IPO investments are particularly appealing, given the substantial upside they offer once companies go public. The spectacular stock market debut of Zomato in 2021, which saw shares surge in demand has set a precedent that many investors aim to replicate.

Swiggy’s upcoming IPO follows a series of successful funding rounds, with investments pouring in from global venture capital giants such as SoftBank Vision Fund, Accel, and Prosus.

The company has also seen interest from diverse investors in the secondary market, including Motilal Oswal Financial Services chairman Raamdeo Agrawal and automobile materials manufacturer Hindustan Composites.

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