Powered by
Sponsored by

Zomato's Rs 9,375-cr IPO to open on July 14 for subscription

The price band for the issue has been fixed at Rs 72 to 76 per share

ZOMATO-IPO/ The IPO of Zomato will be the biggest so far this year to hit the Indian stock exchanges, after the IPO of Indian Railway Finance Corp issue in January 2021 | Reuters

Food ordering platform Zomato on Thursday said it plans to raise Rs 9,375 crore through initial share-sale that will open for subscription from July 14 to 16. The price band for the issue has been fixed at Rs 72 to 76 per share.

Earlier this week, Zomato had received markets regulator Sebi's go-ahead for the initial public offer (IPO).

The total IPO size is Rs 9,375 crore, comprises a fresh issue of equity shares worth Rs 9,000 crore and an offer-for-sale to the tune of Rs 375 crore by Info Edge (India) Ltd.

Zomato, which filed preliminary IPO papers with Sebi in April, obtained its observation on July 2, an update with the regulator showed on Monday.

Going by the draft papers, proceeds from the fresh issue would be used towards funding organic and inorganic growth initiatives and general corporate purposes.

The online food delivery segment has seen significant growth in the last few years with Zomato and Swiggy competing head-on to grab market share.

Zomato's FY20 revenue had jumped over two-fold to $394 million (around Rs 2,960 crore) from the previous fiscal, while its earnings before interest, taxes, depreciation and amortization (EBITDA) loss was around Rs 2,200 crore.


đź“Ł The Week is now on Telegram. Click here to join our channel (@TheWeekmagazine) and stay updated with the latest headlines