Nikhil Goel

🚀 Swiggy Set to Make Waves with ₹11,300 Crore IPO: Key Details and Market Implications 🌐 Swiggy, India's food delivery giant, is set to go public with an IPO launching on November 6, 2024, aiming to raise around ₹11,327 crore (~$1.35B). Shares will be priced at ₹371-₹390 each (around $4.64), with trading expected to start on November 13, 2024. IPO Highlights: Price Range: ₹371-₹390 per share Funds Allocation: Expanding logistics and quick commerce operations This IPO is launching amidst rising tech-driven competition in India’s market. By securing capital, Swiggy plans to advance its quick commerce capabilities, aiming to gain a strategic edge over competitors like Zomato. Market Impact: Swiggy’s IPO offers a unique investment opportunity with strong growth potential, balancing between established dominance in food delivery and quick commerce expansion. Investor Insight: With a grey market premium around ₹25, sentiment is optimistic. As Swiggy steps into the public sphere, it's poised to redefine India's fast-paced delivery ecosystem. #IPO #SwiggyIPO #Investment https://lnkd.in/eyHRRPXh

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Zepto's strategic positioning in the quick-commerce sector is indeed impressive. Their revenue growth from ₹142.36 crore in FY22 to ₹2,024 crore in FY23, a 14-fold increase, demonstrates their effective execution and market understanding. ​​Achieving a 29% market share by January 2024, up from 15% in March 2022, highlights their rapid expansion and customer acquisition strategies. It will be interesting to see how Zepto sustains this momentum and continues to innovate in the competitive quick-commerce landscape.​​

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NU.12.09.2024 𝐒𝐰𝐢𝐠𝐠𝐲 𝐈𝐧𝐜𝐫𝐞𝐚𝐬𝐞𝐬 𝐈𝐏𝐎 𝐒𝐢𝐳𝐞 𝐛𝐲 𝐍𝐞𝐚𝐫𝐥𝐲 $𝟏𝟓𝟎 𝐌𝐢𝐥𝐥𝐢𝐨𝐧 Swiggy, the prominent food delivery and quick commerce platform, is preparing to expand its Initial Public Offering (IPO) to approximately $600 million. This is a significant increase from the previously planned $450 million, showing Swiggy’s ambition to attract greater investment. 𝐑𝐞𝐯𝐢𝐬𝐞𝐝 𝐓𝐨𝐭𝐚𝐥 𝐅𝐮𝐧𝐝𝐫𝐚𝐢𝐬𝐢𝐧𝐠 𝐂𝐨𝐮𝐥𝐝 𝐑𝐞𝐚𝐜𝐡 $𝟏.𝟒 𝐁𝐢𝐥𝐥𝐢𝐨𝐧 Along with a planned $800 million offer for sale (OFS), the company’s total potential fundraising may reach as high as $1.4 billion. These numbers underscore Swiggy's bold financial outlook and its preparedness for a competitive market. 𝐒𝐡𝐚𝐫𝐞𝐡𝐨𝐥𝐝𝐞𝐫 𝐀𝐩𝐩𝐫𝐨𝐯𝐚𝐥 𝐀𝐰𝐚𝐢𝐭𝐞𝐝 𝐟𝐨𝐫 𝐅𝐢𝐧𝐚𝐥 𝐈𝐏𝐎 𝐒𝐢𝐳𝐞 The Bengaluru-based company’s board has passed a special resolution for the equity share issuance. However, this step is still subject to shareholder approval at the upcoming extraordinary general meeting (EGM) scheduled for October 3. If approved, the final IPO size will be officially determined at the EGM. 𝐁𝐚𝐜𝐤𝐢𝐧𝐠 𝐟𝐫𝐨𝐦 𝐏𝐫𝐨𝐦𝐢𝐧𝐞𝐧𝐭 𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫𝐬 Swiggy, which is backed by prominent investors like Prosus, is expected to file its draft red herring prospectus (DRHP) by the end of this month. Its advisory team includes investment banking giants like Morgan Stanley and JP Morgan. 𝐒𝐭𝐫𝐨𝐧𝐠 𝐅𝐘𝟐𝟒 𝐆𝐫𝐨𝐰𝐭𝐡 𝐒𝐮𝐩𝐩𝐨𝐫𝐭𝐬 𝐈𝐏𝐎 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐲 Swiggy’s financial performance in FY24 has been robust, reporting a 36% year-on-year growth in revenue. Total revenue reached ₹11,247 crore, and order volumes rose by 44%, pushing Swiggy’s order size to 2,350 crore deliveries. 𝐍𝐚𝐯𝐢𝐠𝐚𝐭𝐢𝐧𝐠 𝐂𝐨𝐦𝐩𝐞𝐭𝐢𝐭𝐢𝐨𝐧 𝐢𝐧 𝐚 𝐂𝐫𝐨𝐰𝐝𝐞𝐝 𝐌𝐚𝐫𝐤𝐞𝐭 The increase in IPO size reflects Swiggy’s growing ambition and competition in the food delivery sector. Rivals like Zomato and Blinkit have strengthened their market positions with enhanced profitability and growing market capitalization. Emerging players like Zepto have also entered the competition with significant backing from investors like the UAE-based IIFL Finance. 𝐄𝐱𝐩𝐚𝐧𝐝𝐢𝐧𝐠 𝐌𝐚𝐫𝐤𝐞𝐭 𝐏𝐫𝐞𝐬𝐞𝐧𝐜𝐞 𝐀𝐜𝐫𝐨𝐬𝐬 𝐈𝐧𝐝𝐢𝐚 Swiggy has already expanded its presence to 231 cities across India. It has marked its entry into significant Tier 2 and Tier 3 cities, including Mangalore, Kanpur, Udaipur, and Kharagpur, among others. This expansion highlights Swiggy’s strategy to dominate the Indian market while staying competitive against newer entrants. 𝐂𝐨𝐧𝐜𝐥𝐮𝐬𝐢𝐨𝐧 Swiggy’s decision to increase its IPO size by $150 million signals its readiness for future growth and competition in the Indian market. With its substantial expansion and impressive financial performance, Swiggy is well-positioned to attract a strong investor base as it prepares to go public. Rishabh Kale

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Indian venture market has exploded. Someone reported that there are 800+ funds/networks/syndicates/ accelerators active in Indian venture market now. Not sure, if that number is correct but if you are an early stage tech founder on your fundraise journey, chances are, you would meet hundreds of people. While majority of the fund houses are doing incredible work and shaping the ecosystem. There are certain kinds of investors you need to identify & avoid to save time and stay focused: Sharing from my personal experience, top 5 such cohorts to avoid and the takeaways for the founders: 1. Data collectors: At early stage, you don't have historical data to present. Your projections are just that, Projections. I wasted one whole week discussing with a prospective angel investor on why the CLTV to CAC ratio is x, and not y. Takeaway: Discuss high level strategic numbers only without going into the details. None of the projections would be accurate anyway when rubber hits the road. 2. Document collectors: Met few folks, who would watch from the fences and ask for n number of documents, data rooms, statements without sharing the purpose of the ask or even revealing their investment intent. Takeaway: It is supposed to be a bi-directional conversation. Say 'no' often, till the time, an official relationship is established. 3. Valuer (! investor): At early stage, valuation is a function of multiple parameters, the opportunity itself, the team, or anything else except steady cash flows, because you don't have much. I wasted another week with a prospective investor trying to justify valuation, had to shut down that conversation, after both of us started quoting Aswath Damodaran and his valuation principles. Takeaway: Too much content on the internet for both parties anyway. Shouldn't be a bone of contention at early stages. 4. Facilitators posing as investors: Met numerous people, who would go to any lengths to pose themselves as serious investors, even buying paid media articles. Only to reveal at the last: The success fee. Takeaway: Avoid facilitators until Series A 5. Brokers posing as market makers: People posing as market makers sharing tons of gyaan on LinkedIn but are actually deal brokers looking to make quick %. Personal experience: Two rounds of conversation happened and then out of blue, they added a third party in the mail trail, someone who facilitates mergers & acquisitions. There wasn't even a single instance in the past conversations where we indicated any such intent. Takeaway: Avoid name & shame in public but at least share within founder communities. #venture #fundraise #startups #investing

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A uniquely Indian paradox: Even as the Indian consumer makes a move towards premiumization, and is increasingly willing to pay for quality across existing categories (health & wellness, home interiors) and new ones (gaming, pet care, astrology): As a consumer-facing company, you still have to invest in building an offline presence, call-centres and focus on building trust through physical and audio touch-points. A strong online presence and influencer marketing is not enough. Increasing incomes do not translate to increased trust.

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Excited and looking forward to discussing the evolving challenges of raising capital for early-stage startups at SAASCON24. Join me as I dive into the current trends, what founders need to know, and how we can navigate this more challenging environment. #SAASCON24 #StartupFunding #EarlyStageStartups #SaaS #Entrepreneurship

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India is embracing the quick commerce wave! We’re witnessing a shift from unorganized retail directly into this dynamic channel, effectively bypassing modern retail. Initially focused on essentials like bread and milk, quick commerce is now catering to impulse purchases and even refills for staples. This shift is creating a scalable Go-to-Market channel, enabling insurgent food brands to achieve more than INR 100 crore in annual recurring revenue. We are excited to witness this growth firsthand with our portfolio company, Lo Foods, which is on a mission to introduce functional foods to over 100 million Indians. Their range of products—bread, flours, and snacks—are tailored for specific nutritional needs, including ultra-low carb, diabetic-friendly, high protein, and gluten-free options. Sudarshan Gangrade Jitesh Shah Mount Judi Ventures Entrust Family Office KP Balaraj Subramanian Ramadorai Gaurav Arora Ritesh Chandra Janet Kim Jolynn Swee Ravi Ravulaparthi #capitalcode #agrifood

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Last week we announced our investment in Cava from Early Spring and I got hit with a bunch of queries. What kind of fund, investment thesis, cheque size...So here goes, a ready reckoner on what Early Spring is and what we do. Early Spring is a ~300 cr INR early stage consumer fund that aims to invest in seed to pre-series A companies writing cheques between 5 to 15 cr. We invest behind brands and aim to help the founders by offering our marketing and brand building expertise along with capital. We have raised almost all our money from what I choose to call Intellectual Capital - companies and individuals with deep expertise in the consumer space - strategics including Godrej Consumer, Cipla, Manipal Group; Domain experts like Matrix Bay Celebrity Management, Netcore; Individuals including Arihant Patni, Amrish Rau, Murugavel Janakiraman, Abhay Pandey and VT Bharadwaj. We started investing after our first close of 210 cr and we are currently in the process of raising the balance for a final close sometime this year. In another 2 months, we will have a portfolio of 6 brands - watch this space for more announcements :-) If you made it this far, here's an interesting statistic. In the last one year, we have met/evaluated 200+ companies and this is how they break out in terms of core categories. Spring Marketing Capital Arun Iyer Vineet Gupta Kaushik Dasgupta Antara Raychaudhury Vatsal Khullar Anurag Sheth Natasha Dhinda Rohan Talati #EarlySpring #VentureFund #D2C #Consumer #Brands #Founders

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India’s Oyo, once valued at $10 billion, is finalizing new funding at a $2.5 billion valuation. This marks a steep decline from its $10 billion valuation in 2019. The startup, which has raised over $3 billion from backers like SoftBank, Peak XV Ventures, Lightspeed, Airbnb, and Microsoft, has struggled to attract institutional investors. In recent months, it has aggressively pitched to high-net-worth individuals after withdrawing its IPO application twice in the past four years. Once a red-hot Indian startup active in markets including the U.S. and Europe, Oyo has now scaled back its international presence. #venture #downround https://lnkd.in/gE2GjYnM

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Here's one more theme that has played out over the past decade in India SaaS: SaaS companies that sell into India/Asia (non-China/Japan). There's been a reasonably large set of investors in India who have been default no in this category, based on perception of limited TAM and GTM challenges. However, there is reason to be optimistic for this theme (we are!). A reasonable set of companies in the ecosystem have scaled, such as MoEngage, Darwinbox, Capillary Technologies, Yellow.ai, Unicommerce , Gupshup, CRMNEXT, LeadSquared. Companies like Salesforce, SAP etc have reached multi-hundred million ARR in India. As a result, the potential scale from sales in India has grown from the $15-20mm that people used to talk about 5 years back to perhaps $50mm in India, overall $100mm-150mm in Asia. I think we'll see more companies continue to get funded here as IT demand in India/SEA deepens and local requirements (mobile, India Stack, regulations, languages) get addressed. Founders and investors will need to tune into this being a solid path to go but will take longer to get to impact than US/EU-focused companies. Some characteristics we see at India/SEA-facing software companies: * Many start out in SMB but then find scale & success selling into enterprises. India market has a ton of SMBs (10mm+), a relatively light mid-market and a significant set of large enterprises. * Products tend to have feature sprawl and design-deficit but this can be fixed. * Some large sectors that are pulling at enterprise level e.g. BFSI, multi-sector conglomerates. Early traction from digital native companies (but naturally capped market). * Natural to go to SEA & Gulf countries. Product could remain fairly similar but sales & marketing motion can be quite different. To get really large, feels like will have to end up going to US/EU markets eventually. * ~10 years to $100mm ARR, with market leadership in Asia * Gross margins start out perhaps 10-15 points lower than corresponding companies in the US/EU but trend up over time. * Most India-facing SaaS companies are starting as India Pvt. Ltd. today, compared to 5 years ago (versus US C-corp), with a view to going public in India at $50-100mm revenue level.

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Today, we are excited to share our biggest investment as Antler, in India so far. At Antler, incl. our Elevate continuty fund (Fady Abdel-Nour, CFA), we're thrilled to co-lead a $11M pre Ser A in Namma Yatri, alongside Blume Ventures Karthik B. Reddy and Google In this business, a few times in your career, you come across a truly disruptive business model that challenges the way things have been done, and extremely obsessed founders creating a culture that is so unique, you have never seen it before. When that happens, despite all the things not clear, it’s a joy to jump on board that potential rocketship. That’s what we have seen in the way Namma Yatri is being built by Magizhan Selvan and Shan M S with (a) a disruptive business model in urban mobility, rethinking how to make the life of a driver better and (b) Digital Public Infrastructure (DPI) at its heart. 46 million trips have already been completed, with >7 million registered users. For us, this is also a continuation of our commitment to investing in a future on DPI / Beckn / ONDC, started in 2022. h/t Susmit Patodia. Rajiv Srivatsa Magnus Grimeland Martell Hardenberg Teddy Himler Keerat Singh Sethi Vimal Kumar Sheetal Lalwani T Koshy sujith nair Pramod Varma

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#Take2 Why the Market May Be Overestimating Quick Commerce's Future Despite Damodaran's Optimism As a genuine admirer of #AswathDamodaran and his insightful #valuation frameworks, it's fascinating to see how his evaluations cut to the core of a business's #financial #health. However, with #quickcommerce, it’s possible that the broader market has overestimated the long-term potential of these businesses. Quick commerce is undeniably enticing in terms of #growth and #marketshare grabs, but as Damodaran himself has noted, the sector faces headwinds like narrow #margins and dependency on high-frequency, low-value transactions. Quick commerce relies heavily on the temporary advantage of local #logistics and #labor #arbitrage, but as cities become more congested and labor markets tighten, these operational “advantages” could quickly erode. Furthermore, the political landscape may not always be welcoming, especially given the impact on local #kirana stores, which are integral to India’s #retail fabric. While Damodaran’s framework rightly emphasizes lifecycle positioning, it may not fully capture the #political and #inflationary risks that quick commerce facilitates and faces as it scales. This could mean that valuations, even if optimistic now, might not reflect the long-term stability or profitability the street expects. One critical factor that quick commerce models often overlook is India's regional #diversity —it's anything but a #homogenous market. Local preferences, purchasing behaviors, and infrastructure vary widely from city to city. Quick commerce platforms will need to adapt to these variations, constantly refining and expanding their product categories to cater to local demands. This could mean shifting beyond the basic groceries and essentials model and embracing more regional product mixes, which further adds to complexity and costs. The sector's reliance on ultra-fast delivery and inventory optimization only intensifies these challenges, as what works in a metro city like Delhi or Mumbai may fail in smaller towns where consumer habits and logistical networks differ significantly. This makes scaling in India particularly #complex, and could limit the profitability of the "one-size-fits-all" model that quick commerce often tries to implement. All things considered, I’m confident that these companies have the talent needed to evolve. Just look at how Zomato transformed from its early days to what it is now. The real question is: what will they evolve into, and will that future model justify the premium they currently command? For now, I’ll take advantage of my exclusive offer on Coke Zero from quick commerce and enjoy it while it lasts.

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April: 4000 units sold -> May: 11000 units sold -> June: 18000 units sold -> July: 30000+ units   This is the rate at which we are growing, that too only on two major Q-commerce channels (Blinkit & Swiggy Instamart). While we have been growing consistently across traditional channels – website (www.curryit.in), Amazon, and select retail stores over the past two years, the last few months have been remarkable. This exemplifies the excellence and superior quality of our product range – CLEAN, TASTY & AUTHENTIC. So far, we have saved our consumers more than 10 million cooking minutes, and this is just the beginning.    We are all set to achieve 1 lakh units per month milestone by the next quarter.  Kudos to the team for hustling, keeping consumers first, burning mid-night oil and seeing every challenge as an opportunity!! #StartupSuccess #Funding Richa Sharma Nischal Kandula https://lnkd.in/g6bEP5zK

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Miracles can happen in DTC SaaS. Don't believe me? Just see what came into this week's Fulfil.IO Support CSAT highlight reel, for Dhairya Goel and the team that worked with him on this ticket: 🤩 "Very amazing support" 🚴‍♂️ "truly handled with urgency" 📈 "We can't do what we do without this" 💫 "Thanks for making miracles happen" Software isn't perfect, and having help when you need it the most matters. It's okay to expect more from your ERP; perhaps even a miracle. 😉 Support lives at the ❤️ of Fulfil.IO, and we pipe every CSAT submission into our Slack so everyone can read it. Nice work team. 🙌

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India’s startup ecosystem has experienced unprecedented growth in recent years !! As the 3rd largest startup hub globally, we're projected to have the world’s largest working-age population by 2030 with over 60% of its population falling within the 15 - 59 age group !! So are you eager to hop on the bandwagon of the next big thing in Startup investing? Well, let me tell you why now is the perfect time to dive in & why India should be your next investment destination.... 1. Booming Startup Ecosystem - India's startup ecosystem is absolutely on fire, with innovative companies shaking up various industries & attracting global attention like moths to a flame !! 2. Tech Hub - From FinTech to EdTech, India is at the cutting edge of technological innovation, offering lucrative investment opportunities in these red-hot sectors that are the talk of the town !! 3. Massive Market Potential - With a staggering population of over 1.4 billion & a rapidly growing middle class, India presents a vast, untapped market for startups to scale & succeed like never before !! 4. Government Support - India's government has rolled out the red carpet for entrepreneurs with favorable policies & initiatives, making it an attractive environment for investors to park their money !! 5. Talent Pool - India boasts a highly skilled workforce & a thriving community of entrepreneurs, providing startups with the talent they need to thrive and make their mark. 6. Global Recognition - Indian startups are gaining global recognition & attracting investments from top venture capitalists, signaling the immense potential of the market & the excitement it's generating worldwide !! What is it in store for you ?? I'm building a dynamic network of savvy investors - individuals eager to be at the forefront of innovation & wealth creation !! Here are few critical reasons to join my network apart from the fact that you can create wealth... 1)Build your Personal Brand & Influence in this rapidly evolving landscape 2) Be part of a collaborative group of entrepreneurial minds 3) Potential to generate revenue by mentoring the companies you invest in 4) Most importantly the ability to choose opportunities aligned with your passions Imagine being part of this group, where connections flourish, wealth grows exponentially, you stay ahead of the curve & have the chance to do something you truly love !! I currently have some revolutionary opportunities. Let's connect & explore how we can elevate each other to new heights. Please DM #StartupInvesting #IndiaOpportunity #InvestmentNetworking Video Courtesy: Zero2One YouTube

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The D2C Ecosystem has changed in the past decade. Recently at the Great Indian startup summit, Arjun Vaidya talked about the evolution of the D2C ecosystem and how the place has become very cluttered with more and more D2C brands starting every day. Earlier there were just a few brands trying to sell online and now the numbers have exponentially gone up. With this, the barrier to entry and making a slot for yourself in the consumer's mind has become much more difficult. The same channels and strategies which used to work 10 years back will not work in today's times. A very insightful perspective from Arjun. Thanks a lot for taking time out and doing this we look forward to hosting you in our future sessions. Also, Thank you Amrita Pahi and Megha Talwar from Dell Technologies, Nanda Kumar and Mitul Aggarwal from Netcore Cloud , Varun Raju, Monica Kamath and Aastha Bhandari Bansal from BluSmart , Anoop Asthana from ixigo for having faith in us and supporting us through the journey. Looking forward to working with you guys closely in the future. 🤝 The Builders Club Saloni Mehta (Kamdar) Bharat S Priyanka B. V3 Ventures ---------------------------------------------------- 🚩🚩REGISTER FOR THE BUILDERS CIRCLE 🚩🚩 The Builders Club has launched The Builders Circle - an offline community for funded founders to help in their scaling-up journey, enabled by advisors, partners and investors. What the founders get: * 🔥 Monthly Board Room Meetings * 🔥 Regular Curated CXO Mixers  * 🔥 CXO Advisory Panel * 🔥 Workshops for you and your team * 🔥 Enabler and Vendor Database * 🔥 Investor Connects and lots more! 👉 Details + Registration here: https://lnkd.in/gGydAi2i Currently open for Bangalore Founders only.

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