Tag: zomato

Shares of food aggregator platform Zomato plunged 15 percent, hitting an almost six-month low of Rs 44.35, on the BSE in Wednesday's intra-day trade amid heavy volumes. Zomato on Tuesday announced that it was relaunching its loyalty program Zomato Gold – its fourth iteration in the last few years. With a starting price of Rs 149 for three months, Zomato Gold will replace Zomato Pro and Pro Plus, which were suspended in August 2022. This is a discount on the Rs 999 quarterly membership. Under the program, subscribers will get free deliveries at restaurants that are within 10 kilometers on orders above Rs 199. Gold members will also get discounts on food deliveries and dining out. There are also benefits such as a ‘No Delay Guarantee’ where members will receive a Rs 100 coupon for delayed deliveries. For dining in, members will get up to 40 percent off at more than 10,000 partner restaurants across the country. Read more

Zomato's share price fell as much as 4.7 percent to Rs 82.15 apiece on BSE in intraday deals on Tuesday, after the Competition Commission of India (CCI) initiated an investigation into its and Swiggy’s business practices. Being, prima facie, satisfied with some allegations made by the National Restaurant Association of India ("NRAI"), the CCI had directed the DG to carry out a detailed investigation as per Section 26(1) of the Act and submit a report within 60 days from receipt of order.“The Hon’ble Commission has mentioned that it has prima facie not found concerns with respect to our independence on levy of commissions or alleged bundling of services, while it would want to investigate aspects such as a preferential listing of restaurant partners and pricing parity across platforms, etc,” Zomato said in a BSE filing. Read more

Indian food-delivery giant Zomato Ltd is facing a backlash on social media for its plans to roll out a 10-minute food service, starting with Gurugram next month, the stock market has not shown any strong reaction to it. The share price of Zomato dipped 1% on Tuesday morning trade, a few hours after the company made the official announcement. However, the announcement was met with widespread skepticism and concern over the safety of the same. Zomato co-founder Deepinder Goyal, said, "After becoming a frequent customer of Blinkit (one of Zomato’s investments in the quick commerce space), I started feeling that the 30-minute average delivery time by Zomato is too slow, and will soon have to become obsolete."Nobody in the world has so far delivered hot and fresh food in under 10 minutes at scale," Goyal wrote on LinkedIn and Twitter. "We were eager to be the first. Read more

As the recently listed stocks were hammered today(24 January 2022) amid a heavy sell-off in the markets the S&P BSE IPO index plunged 8 percent. The stock markets were under selling pressure for the fifth straight trading session owing to weak global cues on rising concerns about inflationary pressures, surging coronavirus cases, and prospects of interest rate hikes. Zomato, FSN E-Commerce Ventures (Nykaa), C E Info Systems (MapmyIndia), and PB Fintech, the parent company of Policybazaar were down up to 20 percent in intra-day trade so far. All these stocks hit their respective all-time lows since their listing on the stock market. Latent View Analytics, Go Fashion (India), Chemplast Sanmar, Macrotech Developers (Lodha), CMS Info Systems, Sona BLW Precision Forgings and Devyani International slipped between 8 per cent and 10 per cent on the BSE. Read more

Gaurav Gupta, a co-founder, and head of supply of Zomato has quit the company. It may be recalled that Zomato made a public offering in July. "I am taking a new turn in my life and will be starting a new chapter, taking a lot from this defining chapter of my life – the last 6 years at Zomato. We have a great team now to take Zomato forward and it’s time for me to take an alternate path in my journey. I am very emotional as I write this and don’t think any words can do justice to how I am feeling right now," Gupta said in a company-wide email he sent earlier today. In response to the communique, Goyal responded with: "Thank you GG for everything you have helped Zomato achieve over the last few years. We have seen Zomato through great as well as terrible times together and brought it here today. There’s so much of our journey still ahead of us, and I am thankful that you are hanging your boots at a point where we have a great team and leadership to carry us forward." Read more

The amount of money raised in IPOs this year in India has reached $8.8 billion, already surpassing the totals of the past three years. At the current pace, 2021 would exceed the all-time record of $11.8 billion. Founders, bankers, lawyers, and advisers are racing to cash in on fervent demand for fresh public offerings. The performance of recent IPOs, such as Zomato, has fed the enthusiasm. Newly listed Indian stocks are beating the benchmark Nifty 50 Index by more than 40 percentage points this year, the biggest gap in seven years. Oyo Hotels & Homes Pvt started work last week on its draft prospectus and aims to file in October, according to people familiar with the matter. The ride-hailing leader Ola and fintech startup Pine Labs Pvt have also begun talks with investment bankers, according to other people aware of the situation. Read more

The Rs 9,375 crore Zomato IPO saw a strong investor response today(14th July 2021) as the issue crossed the half-way-mark by 3 pm on the first day of bidding. By 3 pm, the issue had attracted bids for 39,98,37,165 shares, which was 56 percent of the issue size of 71,92,33,522 shares. “The average order value of food delivery is consistently growing at 10 percent for last 2 years for the company with a good market share. However, Zomato's valuation at 25 times FY21 EV/sales versus 10 times for global peers and 12 times for Indian QSRs look on the expensive side." experts say. The experts are of the opinion that the listed peer group trades at hefty valuations. "Even as no profits are generated, they can sustain those market valuations based on user experience, market position and tech platforms," thry said. Read more

Shares of Info Edge (India) fell almost 5 percent to Rs 5138.15 per share in intraday trade on BSE on July 13 a day ahead of the Zomato IPO's opening for the public subscription.Info Edge holds a stake of about 18.55 percent in the food delivery platform. The share sale comprises a fresh issue of shares worth Rs 375 crore and an offer for sale of Rs 9,000 crore by its current promoter Info Edge India Ltd. Total of 65 lakh shares have been reserved for employees of the company. Zomato is all set to begin its listing journey on exchanges with an initial public offer (IPO) launch from July 14, 2021, which will be open for the next three days till July 16, 2021. The Rs 9375 crore IPO has a price range of Rs 72-76 per share.

Major food delivery company Zomato has priced its initial public offer (IPO) at Rs 72-76 per equity share. The offer will open on July 14 and close on July 16. Investors can bid for a minimum of 195 Equity Shares and in multiples of 195 thereafter. The anchor investors will be allotted shares on July 13. The IPO is comprised of a fresh issue of shares worth Rs 9,000 crore and an offer sale of shares amounting to Rs 375 crore. It includes a reservation of 6.5 million shares for employees. At the top end of the price band, the company could raise Rs 9,375 crore and is valued at Rs 64,365 crore. The company plans to utilise the net proceeds from the IPO towards funding organic and inorganic growth initiatives. Read more

Ahead of Zomato's initial public offering (IPO) planned later this year the growth versus profitability debate is heating up. According to analysts at Jefferies, while one set of investors are looking at Zomatos’ growth metrics even at the cost of medium-term profitability, the other camp is looking for a clear path to profitability going ahead. Potential competition from Amazon, Thrive, etc. is also on investors' minds and so is the dynamics between Zomato and Swiggy, they said. A few investors are concerned that Swiggy, given its unlisted status, may have less investor pressure on profitability versus Zomato, which will have public market shareholders,” note the experts. Read more

Food delivery aggregator and rating platform Zomato on April 28 filed a Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise Rs 8,250 crore ($1.11 billion) through its Initial Public Offering (IPO) as consumers increasingly turn to order food online during the Covid-19 pandemic. Of this, Rs 7,500 crore will be a fresh issue, while Rs 750 crore will be an offer for sale for its existing investor Info Edge.Zomato said in the DRHP that it expects to use the funds raised through the IPO to fund its organic and inorganic growth initiatives, which include customer and user acquisition, delivery and technology infrastructure, and any new acquisitions. Kotak Mahindra Capital, Morgan Stanley India, Credit Suisse Securities India, BofA Securities India, and Citigroup Global Markets India are the lead book-running managers for Zomato's IPO. Read more