Transaction:
Zomato has raised $660 million in an investment round at the valuation of $3.9 billion. Tiger Global Management, Baillie Gifford, Luxor Capital, Kora Capital, Steadview, D1 Capital and Mirae Asset were the investors who participated in this round.
On top of this $660m, Zomato is in the process of closing a $140m secondary transaction. As part of this transaction, it has already provided liquidity worth $30m to its ex-employees. Transaction details were tweeted by Zomato’s co-founder Deepinder Goyal.
About Zomato:
Founded in 2008, Zomato is an Indian restaurant aggregator and food delivery start-up that provides information, menus and food delivery options from restaurants. It also provides reviews of restaurants and has presence in 24 countries and 10000+ cities globally.
Rationale:
Zomato has plans to go public in the near future. This funding round secures it sufficient capital for operation.
Earlier in January 2020, Zomato acquired competitor Uber Eats in an all stock transaction i.e. 9.99% of Zomato at approximate valuation of $350 million for Uber Eats. After the acquisition, Zomato and Swiggy are the only major players in market which gives them high negotiation power.
Acknowledgements:
RBI Bulletin (www.bulletin.rbi.org.in), SEBI (www.sebi.gov.in), NSE (www.nseindia.com), BSE (www.bseindia.com)
Disclaimer:
This material has been prepared by the personnel in Vora Corporate Finance which is Investment Banking arm of Vora Management Consultancy Private Limited and looks after Mergers & Acquisitions (M&A), Private Equity (PE), Fund Raising, Debt syndication and Valuations and is based out of Ahmedabad, Gujarat, India. Any views or opinions expressed herein are solely that of individual authors and may differ from view of Vora Management Consultancy Private Limited. This material is proprietary to Vora Management Consultancy Private Limited and is for your personal use only. Any distribution, copy, reprints or forward to others is strictly prohibited.
This material captures the information based on information available in the public domain, public announcements and sources believed to be reliable. Analysis contained herein is based on publicly available information and appropriate assumptions. This material is intended merely to highlight market developments and is not intended to be comprehensive and does not constitute strategic, investment, legal or tax advice. In no event Vora Management Consultancy Private Limited be liable for any use by any party or for any decision made or action taken by any party in reliance upon, or for any inaccuracies or errors in, or omissions from, the information contained herein and such information may not be relied upon by you for evaluating any transaction.
#mergersandacquisitions #privateequity #ipo #debt #debtsyndication #valuations #rating #creditrating #financeadvisory #finance #economy #indianeconomy #fundraising #capitalmarket #capital #banking #m&a #ma #pe #initialpublicoffer #businessloan #loan #businessvaluation #registeredvaluer #acquisition #merger #deals #financialdeals #ahmedabad #gujarat #india #ratingadvisory #mergersandacquisitionsahmedabad #maahmedabad #privateequityahmedabad #ipoahmedabad #financeadvisoryahmedabad #stockmarket #primarymarket #secondarymarket