Lagatar Desk: The IPO of food delivery company Zomato has opened for today i.e. from July 14. The company’s subscription will be open till July 16. Zomato aims to raise Rs 9,375 crore. The price of one share has been fixed at Rs 72 to 76. This is the biggest IPO after SBI.
Target to raise 375 crores under offer for sale
Through this IPO, Zomato aims to raise Rs 9,375 crore. Through this IPO, fresh share issue worth Rs 9,000 crore will be issued. Whereas shares worth Rs 375 crore will be sold through offer for sale. Under the offer for sale, other shareholders in the company will also be able to sell their shares.
Share reserve for retail investors
There is a 10% share reserve for retail investors. That is, shares worth 933 crores are in reserve. Retail investors can bid for shares in 195 shares and multiples thereof. Retail investors can bid for a maximum of 13 lots. That is, you can invest a maximum of Rs 1.94 lakh in this. The most important thing about this IPO is that 65 lakh shares are reserved for the employees. QIB will get the highest 75%.
Will be listed on BSE and NSE
BofA Securities India Limited and Citigroup Global Markets India Private Limited have been appointed as Merchant Bankers for this Public Issue. The shares of this company will be listed on both BSE and NSE.
LIC also in preparation for investment
The country’s largest insurance company LIC is also preparing to bid in this. This will probably be the first time that LIC will participate in the issue of a non-government company.
In February, the company had raised 1800 crores
Even before this, the company had raised funds in February. The company had collected around 1,800 crores from Tiger Global and others. After which the market value of the company had increased to $ 5.4 billion. Zomato’s profit has almost doubled in a year. The company’s profit in the financial year 2020 was Rs 2960 crore. While the Earning Before Interest Taxes Depreciation and Amortization (EBITDA) loss was 2,200 crores.
Info Edge holds largest stake in Zomato
In February, Zomato had raised Rs 1,800 crore from Tiger Global, Quora and other companies. Info Edge’s stake in this is 18.4 percent. Info Edge will sell shares worth 375 crores through offer for sale. Then the valuation of the company was 40 thousand crores. Now its value has increased to 56 thousand crores. The company’s total revenue in the financial year 2018 was 487 crores, which has increased to 2,743 crores in 2020-21.
