Zomato plans for IPO in first half of 2021 – 10 things you want to know

New Delhi: Online restaurant guide and food ordering platform Zomato plans to file an initial public offering (IPO) in the first half of next year.

Company’s Chief Executive Officer Deepinder Goyal in an email to employees has said the company plans to file for IPO in the first half of 2021 and will look at mergers and acquisitions.

Here are 10 developments around this

1. Zomato CEO has thanked the team for their hard work and commitment adding that waiting a little longer will result in significantly more value creation for all.
    
2. In total, Zomato ex-employees have sold almost USD 30 million (around Rs 225 crore) worth of shares to investors, Goyal said.
    
3. The sale comes at an average premium of about four times to what the shares were allotted to those employees.
    
4. Zomato’s cash in the bank is around USD 250 million.
    
5. Tiger Global, Temasek, Baillie Gifford and Ant Financial have already participated in the company’s current round, Goyal said.
    
6. Goyal has estimated that the company’s current round will end up with us at USD 600 million or around Rs 4,400 crore in the bank very soon.
    
7. Zomato has raised USD 160 million from US hedge fund Tiger Global Management LLC and a unit of Singapore`s Temasek Holdings.
    
8. Of the above amount, Zomato has closed primary fundraise of USD 100 million from Tiger Global Management, LLC.
    
9. It has raised USD 60 million from MacRitchie Investments Pte. Ltd., an indirect wholly-owned subsidiary of Temasek Holdings.
    
10. The transaction valued Zomato at a post-money valuation of USD 3.3 billion.

The investment comes at a time when the food delivery startup reinvents parts of its business as it grapples with the economic fallout from the COVID-19 pandemic.