Zomato Initial public offering

Indian food supplier Zomato plans to sell new shares for 90 billion rupees ($1.2 billion), with majority shareholder Info Edge India hoping to pay off the 37.5 billion rupees it currently holds. During the offer period from 14 to 16 July, Info Edge will hold an 18.55% stake in the company, while Uber will hold 9.13%.

Zomato will conduct its initial public offering next week on July 14, taking 9.375 crons ($1.3 billion). The Company has set the Offer Price for Public Shares at Rs72 to Rs76 apiece. Investors may bid on at least 1 lot for 19.5 shares. The company is valued at the upper end of the price range at 64.365 billion rupees, announced the management on Thursday during a virtual conference.

Zomato will hold a press conference on Thursday, 8 July at 12 noon to give further details about Zomato. After the issue, the company announced that it will be valued at Rs64 365 crore ($8.6 billion). The issue consists of a new issue of shares and a purchase offer by Zomatos “parent company Info Edge. The company will be the first of many Indian tech startups to go public. 

Zomato, the most popular food delivery platform in India, will launch its IPO on Wednesday at 9,375 rupees with a price range of 72 to 76 rupees for its maiden issue. Investors can subscribe to the IPO from July 16. The IPO will consist of a new share issue of Rs 9000 crore and an offer to sell Rs 375 crore from existing and newly sold shareholders (Info Edge). There is a lot of buzz around the IPO, as it will be the first major consumer tech company to list on an exchange.

Investors and analysts remain optimistic that the unlisted shares of online grocery giant Zomato will be available on the gray market ahead of its $9.375 IPO at a 26 percent premium. The IPO includes the new issue of shares worth Rs 9000 crore and a sale offer of Rs 375 crore.

The price range of the offer was set at 72-76 rupees per share for the company after consultation with traders. The company’s unlisted shares are available on the gray market at Rs 92-96 per share. With Rs72-76 a share price band, Zomato is looking to raise Rs93.75 crore through the IPO.

Despite the strong sales growth, the company continues to post losses. The company has not yet announced full-year sales figures for fiscal 2021. Zomato has been in financing mode as part of its pre-IPO plan since the beginning of the year.

The company will begin its first public offering on July 14 and will be available for subscription starting on Friday, July 16th, 2021. Zomato is represented in over 500 cities in 23 countries, including the United States. 

The allocation of shares is rumoured to take place on 22 July and the listing of the shares on 27 July. India’s largest online food ordering platform Zomato is trying to raise 9.375 million rupees through a public offering. Up to 10% of the public issue will be open to retail investors to convert to Rs 937 crore.

In a rare move this week, the state-owned Life Insurance Corp of India (LIC) is considering a bid for Zomatos shares on online food delivery platforms, two people familiar with the matter said. LIC is expected to offer shares in Zomato, said the two people, who asked for anonymity. 

BENGALURU (Reuters) – Indian food supplier Zomato could give it a value of $7.98 billion if its initial public offering (IPO) will cost between 72 and 76 rupees per share, the Bengaluru-based company said on Thursday after it slashed on a pandemic-related increase in online orders. The IPO plan of Zomato was approved by the Securities and Exchange Board of India on July 5. The Indian tech unicorn announced today (July 8) that it will begin talks on an IPO on July 14. The company plans to raise up to 9,375 rupees in an initial public offering, and it will offer shares at a price of between 72 and 76 rupees, it said at its news conference. 

A supplier of Zomato, an Indian food delivery start-up, waits for orders on May 21 in a restaurant in New Delhi, India. Mohit Gupta is co-founder and head of the company’s new business. Technology platforms from food giants connect customers, restaurant partners and delivery partners to serve their diverse needs. 

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