Zomato IPO 2021 is all set to come out soon as Zomato has filled for DRHP for its IPO on 28 April. This will value the food tech giant at a value of no less than $ 6 – 8 Billion. Zomato is the most valued Indian startup in Food delivery, Restaurant booking and aggregator space.
Despite the Covid-19 pandemic, 2021 has been extremely good especially for Startups. As much has 12 Indian Startups has entered the unicorn club in 2021, and also many startups are eyeing for an IPO in 2021 and 2022 to raise funds.
The most recent IPO launch from s startup company was the Nazara Technologies IPO. Some more startups to come up with IPO in the coming months are Swiggy, Delhivery, Policybazaar, Freshworks, Flipkart and Nykaa.
About Zomato
Zomato is the most valued Indian startup in Food delivery , Restaurant booking and aggregator space. Its major competitor in India is Swiggy, which operates in the same space. The start was founded in 2008 by Pankaj Chaddah and Deepinder Goyal . The company has also started grocery delivery during the COVID-19 pandemic.
Co-founder and CEO of Zomato, Deepinder Goyal has informed Zomato employees that the Zomato IPO 2021 will be the most primary and 100 % focus of the organization for the coming months.
Latest Zomato Funding
As part of the upcoming Zomato IPO, Zomato is in talks to raise Rs 1,500 crore or $200 million as part of a pre-Initial Public Offering. The company will also raise a fresh fund of $1 billion. After the IPO Zomato is expected to be valued at $ 6 – 8 Billion.
The important thing to note here is that there will be no shares sold or exit from any existing previous Investors. This means that all the previous investors are ready to hold on to the shares for a much longer time. Which means they are sure to get a better return in the future.
Previous funding raised by Zomato was $ 250 million and an additional $ 250 million dollars worth of shares were sold to China’s Ant Financials. This round valued the startup at $ 5.4 Billion, which is more than the previous $ 3.4 Billion. Also, some of the previous investors in Zomato include Tiger Global, Tamasek Holdings, Sequoia Capital and Info Edge.
Zomato IPO Details
Zomato IPO is all set to come out soon as Zomato has filled for DRHP for its IPO on 28 April. This will value the food tech giant at a value of no less than $ 6 – 8 Billion. Zomato to raise Rs 8,250 crore or $1.1 billion from selling shares through IPO.
Expectations are high from this particular Initial Public Offering because Zomato is witnessing a significant increase in the food delivery business with many restaurants going online. Also an increase in Cloud kitchens even from Tier 3 cities.
Zomato hired Morgan Stanley, Citi Bank, Kotak Mahindra Bank, Credit Suisse and Bank of America as bankers and received IPO approval from BSE and NSE.
In a recent update, Info Edge has announced that it will sell its Zomato shares/stake worth $100 Million or Rs 750 Crore as part of the Zomato IPO 2021.
Another main reason for high expectations from the Zomato IPO 2021 is the successful IPO of US-based food delivery Startup DoorDash, which is backed by SoftBank.
DoorDash IPO was launched in December 2020 and just the same day as IPO, its share price rose by 78%. Before the IPO DoorDash was valued at $ 34.2 Billion and currently its valuation has risen close to $ 53.6 Billion.
There could also be competition to the Zomato IPO 2021, by their closest competitor and rival Swiggy. Swiggy is also raising $ 800 Million in a fresh founding round. Zomato investors have insured them to help and support them during the Zomato IPO , in order to compete with Swiggy.
FAQ’s
startups to come up with IPO in the coming months are Zomato, Swiggy, Delhivery, Policybazaar, Freshworks, Flipkart and Nykaa.
Zomato IPO will open in 2021.
Zomato’s competitors in India are Swiggy, Dunzo, FreshMenu, Box8, Rebel Foods(owns Faasos, Behrouz Biryani and Oven Story).
We can earn money from Zomato in 2 ways, first as their delivery partner and secondly as a Restaurant/Cloud kitchen owner by selling food on Zomato.