Why Swiggy Share Price Is Correcting On The Second Day Of Listing

Food delivery and quick commerce company Swiggy Ltd. has corrected on the second day of listing. The company, which listed on Nov. 13 and closed 16% higher at Rs 456 a piece, taking its market cap above Rs 1 lakh crore, fell over 4.5% on the second day of trade on profit book.

Swiggy's trading details of day one provide details of stock liquidity or share freely available and how it moved upon listing.

At the end of day one, Swiggy saw volumes of delivery of 12.10 crore shares on both the stock exchanges — BSE & NSE. The total value of trade on both the stock exchanges stood at Rs 5,519 crore. Delivery volumes or shares that were transferred to the buyers on Wednesday stood at 6.03 crore shares or 49.9% and amount to Rs 2752.20 crore on both the exchanges.

The shares delivered accounted for 20.8% of the total shares offered in the IPO or 37.80% of the freely available shares available to trade. This higher percentage is because shares offered to anchor investors are locked in equally for 30 and 90 days.

On day one of the listing institutions have bought nearly 38% of the free float available in the market while retail and HNI likely to have sold significant portion of their holdings to book listing day profits. Retail, NII and employees were allocated 2.1% equity in the company.

As per data available the first anchor portion opens on Dec. 10 comprising of 6.5 crore shares. The amounts to 2.91% of the equity of the company. The second anchor book opens on Feb. 8 for similar number of shares.