Zomato plans IPO in 2021, ex-staff get $30 million cashout

Zomato Aims to Go Public by Mid-2021 Now Valued at $3.4 Billion Report

Online restaurant discovery platform Zomato has started preparations to go for an initial public offering (IPO) in 2021, making it the first among India's most valued consumer internet companies, or unicorns (valued at over $1 billion each) to plan a market debut.

With this $103 million, Zomato's valuation has shot up to $3.4 billion from $3.25 billion. Temasek Holding indirect subsidiary, MacRitchie Investments Pte.

In another important development, Zomato has also allotted worth $52 Mn or 182 crores fresh equity shares to its ESOP trust.

The investment is part of a larger funding round of up to US$ 600 million, announced by Zomato Founder and CEO Deepinder Goyal in December.

In addition to this, Zomato will be using this funding, as cash reserves to fight price competition in the market, as well as look at potential acquisitions in the space, which will boost its food delivery capabilities.

Adding more money to its bank account, Zomato has raised additional money from NY based Tiger Global, just a week after it had acquired $62 million from Singapore state investment arm Temasek. Kora is also pumping around $100 million, reports say.

Promising Coronavirus Vaccine Resumes Trials After Brief Pause
The company didn't immediately respond to a question on when the trials would resume in the USA , which officially began late last month, or elsewhere.

"Important note - we have no immediate plans on how to spend this money".

Tiger Global, Temasek, Baillie Gifford and Ant Financial have already participated in the company's current round, and there are more big names joining the round, he said.

"Our finance/legal teams are working hard to take us to IPO sometime in the first half of next year", Deepinder Goyal, Zomato's founder and chief executive officer, told employees in an email on Thursday, a copy of which Bloomberg News has obtained. "The value of our business is going up dramatically, all thanks to the hard work and commitment of our team,".

An official confirmation on the IPO from Zomato is awaited at the time of publishing this news. "We hope to create a lot of value for our current employees who have Esops next year".

The announcement was made at a time when Zomato and Swiggy had announced laying off over 1,600 employees as business was impacted by the COVID-induced lockdown. He also added that Zomato's value is increasing drastically and it was possible due to their dedicated team. Zomato has said previously that it was clocking improved unit economics over the past 12 months, and its food delivery business had recovered to 80% of pre-Covid-19 levels. In India, Tiger Global ramped up its investments significantly after exiting Flipkart in August 2018, ending a three-year hiatus.

Related News:



Most liked

Pennsylvania reports 1008 new coronavirus cases, 17 new deaths
In the US , 6.3 million cases have been reported with 191,000 deaths, Johns Hopkins University data show. This additional information replaces the information that was previously provided daily in this format.

Georgia Elections Chief Accused of Voter Intimidation
Mail-in ballots must be requested from a resident's local election authority, either in person or by mail. A total of 35,096 people signed up in 2016 and only 167 of their votes were not counted.

F1: Lewis Hamilton earns pole for Tuscan Grand Prix
Hamilton said he felt "the pressure was higher than ever" to find time around Mugello and overturn his deficit to Bottas. Hamilton was thrilled to claim a seventh pole of the season, and his first one at a track he described as "phenomenal".

Chris Gayle among global players in LPL auction
The 37-year-old has represented Team India in 13 Tests, 70 ODIs, and 3 T20Is, having taken 35, 86, and 4 wickets respectively. The five franchises taking part are Dambulla Hawks, Colombo Lions, Galle Gladiators, Jaffna Hawks, and Kandy Tuskers.

Bahrain and Israel agree to establish full diplomatic relations
And in Manama, the capital of Bahrain, a senior official said the deal would boost regional "security, stability, prosperity". The announcement followed a three-way phonecall Mr Trump had with Mr Netanyahu and Bahrain's King Hamad bin Isa Al Khalifa.

Elon Musk and Tom Cruise Want to Shoot a Movie in Space
The disease later led to a worldwide shutdown of Hollywood movie and TV production and the closure of movie theaters. Only Russia, followed by the United States, then China, have launched humans into orbit since 1961.

Donald Trump Ramps Up Attacks Against Kamala Harris As Election Looms
The Flight 93 memorial near Shanksville is trimming its usual 90-minute ceremony , partly by eliminating musical interludes. We took all our advertising down. "It's a solemn day, and that's how we're going to keep it, okay?", Mr Biden said .

AstraZeneca resumes United Kingdom trials of COVID-19 vaccine halted by patient illness
The vaccine trial at Astra Zeneca and the University of Oxford is one of nine trials that have progressed to the final stages of human trials.

French PM rules out new lockdown to contain COVID-19 resurgence
The announcement comes after infection clusters emerged across the country since schools were reopened on September 1. He told the meeting: "We need to be as transparent and clear as possible".

Frank Lampard could be without five players for trip to Brighton
I wasn't able to bring in players I felt might be helpful for the way I wanted to go and the style I wanted to play. Indeed, Mount's father, Tony, has already come out and denied German reports describing him as unsettled.

Tom Hanks Returns To Australia To Film Elvis Biopic
Baz also thanked their partners in the Queensland Government and Queensland Health for their extremely diligent process.

One Mississauga school and one daycare have confirmed COVID-19 cases
The disease is now growing at five cases per average day, compared to a low of one case per average day in early August. The site now shows 13 cases of COVID-19 at Ontario schools and 56 reported cases at day cares.

Justice Dept. charges dozens with trying to steal $175M in relief funds
So far, the government has recovered or frozen more than $30 million of the $70 million in PPP funds that was stolen, he said. The $ 175 million that applicants tried to steal entails a known loss of $80 million to the USA government, said officials.

Oil Prices Fall on Growing Stockpile
On Thursday, Brent for December settled at its biggest discount to year-ahead futures since May. Fears about an oversupply also added to the general feeling of uncertainty, Mr Weinberg said.

Koeman begins Messi reconciliation at Barca
Ernesto Valverde and Quique Setien opted to play him out wide last season, but Koeman could decide to change his position in an attempt to get the best out of him.