Zoom News : Jul 14, 2021, 09:03 AM
New Delhi: Restaurant aggregator and food delivery platform Zomato’s Initial Public Offering (IPO) worth ₹9,375, India’s biggest IPO this year, will be opening today. It will be open for subscription till July 16. At ₹72-76 per share price band, the company is looking to raise ₹9,375 crore through the offer.Zomato’s IPO comprises a fresh issue of equity shares worth ₹9,000 crore and an offer-for-sale (OFS) worth ₹375 crore by existing investor Info Edge (India), the parent company of Naukri.com, according to the draft red herring prospectus. The company which is backed by Jack Ma’s Ant group is the first Indian unicorn and food delivery platform to launch an IPO.An IPO entails listing a company at the stock markets, offering the public and money managers an opportunity to participate in that company as a shareholder. This IPO is expected to bring Zomato’s valuation to a whooping ₹ 64,365 crore, and has created quite the buzz. “Zomato as a brand has been very popular amongst the younger audience and with the Covid situation it has caught up with the middle-aged and senior citizens as well,” Amit Khurana, Head of Equities, Dolat Capital Market told Hindustan Times.Post-IPO, the valuation of Zomato is expected to be more than the combined market capitalisation of five listed fast food and restaurant companies-Jubilant FoodWorks Ltd, Burger King India Ltd, Westlife Development Ltd, Barbeque-Nation Hospitality, and Speciality Restaurants.The Zomato IPO will open for subscription between July 14 to July 16 and the company is looking to finalise the IPO share allotment around July 22. The funds will be refunded or unblocked from the Application Supported by Blocked Amount (ASBA) account around July 23, 2021.