Bumper debut for Zomato; m-cap races previous Rs 1 lakh cr

Food supply platform Zomato made a stellar debut on bourses on Friday, as its shares zoomed practically 53 per cent in opposition to the problem value of Rs 76, and its market valuation has crossed the Rs 1-lakh-crore mark.
The inventory made its debut at Rs 115, reflecting an enormous achieve of 51.31 per cent in opposition to the problem value on the BSE. It then hit a excessive of Rs 138, a bounce of 81.57 per cent.
At the NSE, it obtained listed at Rs 116, registering a premium of 52.63 per cent.
With the rally within the shares, the corporate’s market valuation went previous the Rs 1-lakh-crore mark on the BSE.
“Zomato, India’s main on-line meals supply firm, listed strongly on the exchanges immediately with a 53 per cent premium. Such a stellar debut on the exchanges led to its market capitalisation crossing Rs 1 lakh crore.
“Despite the large size of IPO at Rs 9,375 crore and rich valuations, the company saw a healthy overall subscription of 38 times. There is a lot of fancy for such unique and first of its kind listing in the market. Zomato with first mover advantage is placed in a sweet spot as the online food delivery market is at the cusp of evolution,” stated Sneha Poddar, Research Analyst, Broking & Distribution, Motilal Oswal Financial Services Ltd.
Zomato’s preliminary public providing (IPO) final week ended with a bumper 38 instances subscription.

The IPO of Zomato was India’s greatest preliminary share sale provide since March 2020.
The IPO had opened for subscription on July 14, in a value band of Rs 72-76 per share. It closed on July 16.
The firm, backed by Jack Ma’s Ant Group Co, is the primary from a protracted record of Indian unicorn startups to launch an IPO. It can also be the primary amongst Indian on-line meals aggregators.
The Zomato IPO comprised a recent situation of fairness shares price Rs 9,000 crore and an offer-for-sale (OFS) price Rs 375 crore by present investor Info Edge (India), which is the mum or dad firm of Naukri.com, based on the knowledge supplied within the draft crimson herring prospectus.

Zomato has stated it can utilise the IPO proceeds for funding natural and inorganic progress initiatives and basic company functions.
Incorporated in 2008, Zomato is current in 525 cities in India, with 3,89,932 lively restaurant listings together with a presence in 23 international locations exterior India.