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Zomato IPO is a book build issue of ₹9,375.00 crores. The issue is a combination of fresh issue of 118.42 crore shares aggregating to ₹9,000.00 crores and offer for sale of 4.93 crore shares aggregating to ₹375.00 crores.
Zomato IPO bidding started from Jul 14, 2021 and ended on Jul 16, 2021. The allotment for Zomato IPO was finalized on Jul 22, 2021. The shares got listed on BSE, NSE on Jul 23, 2021.
Zomato IPO price band is set at ₹76.00 per share . The lot size for an application is 195. The minimum amount of investment required by an retail is ₹14,040 (195 shares). The lot size investment for sNII is 14 lots (2,730 shares), amounting to ₹2,07,480, and for bNII, it is 68 lots (13,260 shares), amounting to ₹10,07,760.
The issue includes a reservation of up to 65,00,000 shares for employees offered at a discount of ₹0.00 to the issue price.
BOFA Securities India Ltd. is the book running lead manager and MUFG Intime India Pvt.Ltd. is the registrar of the issue.
Refer to Zomato IPO RHP for detailed Information.
| IPO Date | July 14, 2021 to July 16, 2021 |
| Listing Date | July 23, 2021 |
| Face Value | ₹1 per share |
| Issue Price Band | ₹72 to ₹76 per share |
| Issue Price Final | ₹76 per share |
| Lot Size | 195 Shares |
| Sale Type | Fresh Capital-cum-Offer for Sale |
| Total Issue Size | 1,23,35,52,631 shares (aggregating up to ₹9,375.00 Cr) |
| Fresh Issue | 1,18,42,10,526 shares (aggregating up to ₹9,000.00 Cr) |
| Offer for Sale | 4,93,42,105 shares of ₹1 (aggregating up to ₹375.00 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 6,66,09,69,150 shares |
| Share Holding Post Issue | 7,84,51,79,676 shares |
Zomato IPO offers total 1,23,35,52,631 shares. Out of which 92,02,89,474 (74.60%) allocated to QIB, 36,81,15,969 (29.84%) allocated to QIB, 18,40,57,894 (14.92%) allocated to NII, 12,27,05,263 (9.95%) allocated to RII and 55,21,73,505 (44.76%) allocated to Anchor investors.
| Investor Category | Shares Offered | Maximum Allottees |
|---|---|---|
| QIB Shares Offered | 92,02,89,474 (74.60%) | NA |
| − Anchor Investor Shares Offered | 55,21,73,505 (44.76%) | NA |
| − QIB (Ex. Anchor) Shares Offered | 36,81,15,969 (29.84%) | NA |
| NII (HNI) Shares Offered | 18,40,57,894 (14.92%) | NA |
| Retail Shares Offered | 12,27,05,263 (9.95%) | 6,29,257 |
| Employee Shares Offered | 65,00,000 (0.53%) | NA |
| Total Shares Offered | 1,23,35,52,631 (100.00%) |
| Application Category | Maximum Bidding Limits | Bidding at Cut-off Price Allowed |
|---|---|---|
| Only RII | Up to Rs 2 Lakhs | Yes |
| Only sNII | Rs 2 Lakhs to Rs 10 Lakhs | No |
| Only bNII | Rs 10 Lakhs to NII Reservation Portion | No |
| Only employee | Yes | |
| Employee + RII/NII |
|
Yes for Employee and RII/NII |
Zomato IPO opens on July 14, 2021, and closes on July 16, 2021.
| IPO Open Date | Wed, Jul 14, 2021 |
| IPO Close Date | Fri, Jul 16, 2021 |
| Tentative Allotment | Thu, Jul 22, 2021 |
| Initiation of Refunds | Fri, Jul 23, 2021 |
| Credit of Shares to Demat | Fri, Jul 23, 2021 |
| Tentative Listing Date | Fri, Jul 23, 2021 |
| Cut-off time for UPI mandate confirmation | 5 PM on Fri, Jul 16, 2021 |
Investors can bid for a minimum of 195 shares and in multiples thereof. The following table depicts the minimum and maximum investment by Individual Investors (Retail) and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 195 | ₹14,820 |
| Retail (Max) | 13 | 2,535 | ₹1,92,660 |
| S-HNI (Min) | 14 | 2,730 | ₹2,07,480 |
| S-HNI (Max) | 67 | 13,065 | ₹9,92,940 |
| B-HNI (Min) | 68 | 13,260 | ₹10,07,760 |
Incorporated in 2010, Zomato Limited is one of the leading online Food Service platforms in terms of the value of food sold as of Dec 31, 2020. Its B2C offerings include food delivery and dining-out services where customers can search and discover restaurants, order food delivery, book a table, and make payments for dining out at restaurants while under the B2B segment, it generates revenue from Hyperpure (supply of high-quality ingredients and kitchen products to restaurants) and Zomato Pro, customer loyalty program.
As of December 31, 2020, Zomato has established a strong footprint across 23 countries with 131,233 active food delivery restaurants, 161,637 active delivery partners, and an average monthly food order of 10.7 million customers.
Competitive Strengths
| Particulars | For the year/period ended (₹ in million) | ||||
|---|---|---|---|---|---|
| 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |||
| Total Assets | 87,035.43 | 29,003.82 | 34,134.05 | ||
| Total Revenue | 21,184.24 | 27,427.39 | 13,977.17 | ||
| Profit After Tax | (8,164.28) | (23,856.01) | (10,105.14) | ||
The Company Zomato IPO proposes to utilise the Net Proceeds from the Issue towards the following objects:
| S.No. | Objects of the Issue | Expected Amount (₹ in crores) |
|---|---|---|
| 1 | Funding organic and inorganic growth initiatives | 6,750.00 |
| 2 | General corporate purposes | 1,978.00 |
[Dilip Davda] The rationale is given in PREFACE and the negative P/E makes this mega primary offer a costly bet. Earlier two loss-making food chain IPOs of Burger King and Barbeque Nation have rewarded investors in the medium term, but they were in the hotel sector that enjoys good margins, whereas this company is purely dependent on third party supply and is primarily in the food delivery business. This being the first mover in the segment, its listing performance hinges on ongoing uncertainty and the future prospects. National Restaurant Association of India (NRAI) moving Competition Commission of India (CCI) for level playing field between restaurants and online food aggregators is a major concern for a while. Being mega offer, chances of allotment are higher. There is no harm in skipping this IPO with inflated valuations. Read detail review...
| Listing Date | July 23, 2021 |
| BSE Script Code | 543320 |
| NSE Symbol | ETERNAL |
| ISIN | INE758T01015 |
| Final Issue Price | ₹76 per share |
| BSE Listing Group | B |
| Price Details | NSE SME |
|---|---|
| Final Issue Price | ₹76.00 |
| Open | ₹115.00 |
| Low | ₹114.00 |
| High | ₹138.00 |
| Last Trade | ₹125.85 |
Zomato Ltd.
Ground Floor,
12A, 94 Meghdoot,
Nehru Place,
New Delhi, New Delhi, 110019
Phone: +91 011 4059 2373
Email: companysecretary@zomato.com
Website: http://www.zomato.com/
MUFG Intime India Pvt.Ltd.
Phone: +91-22-4918 6270
Email: zomato.ipo@linkintime.co.in
Website: https://linkintime.co.in/Initial_Offer/public-issues.html
Lead Manager Reports
Zomato IPO is a main-board IPO of 1,23,35,52,631 equity shares of the face value of ₹1 aggregating up to ₹9,375.00 Crores. The issue is priced at ₹76 per share. The minimum order quantity is 195.
The IPO opens on July 14, 2021, and closes on July 16, 2021.
MUFG Intime India Pvt.Ltd. is the registrar for the IPO. The shares are proposed to be listed on BSE, NSE.
Zerodha customers can apply online in Zomato IPO using UPI as a payment gateway. Zerodha customers can apply in Zomato IPO by login into Zerodha Console (back office) and submitting an IPO application form.
Steps to apply in Zomato IPO through Zerodha
Visit Zerodha IPO Application Process Review for more detail.
The Zomato IPO opens on July 14, 2021 and closes on July 16, 2021.
Zomato IPO lot size is 195, and the minimum amount required for application is ₹14,820.
You can apply in Zomato IPO online using either UPI or ASBA as a payment method. ASBA IPO application is available in the net banking of your bank account. UPI IPO Application is offered by brokers who don't offer banking services. Read more detail about applying IPO online through Zerodha, Upstox, 5Paisa, Nuvama, HDFC Bank, and SBI Bank.
The finalization of Basis of Allotment for Zomato IPO will be done on Thursday, July 22, 2021, and the allotted shares will be credited to your demat account by Friday, July 23, 2021. Check the Zomato IPO allotment status.
The Zomato IPO listing date is on Friday, July 23, 2021.
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