Food delivery giant Zomato’s share falls 4% ahead of June quarter earnings

Zomato share received a premium of 52% to IPO issue price. Share of Zomato started at Rs 116, 52.63% NSE compared to issue price of Rs 76. Market cap crossed the Rs 1 lakh crore scale on the listing day.

Online food delivery platform Zomato’s share significantly dipped by 4%, much ahead of June quarter earnings, to be announced today. Zomato stock missed 3.75% to Rs 125.55  compared to the last quarter of Rs 130.45 on BSE.

It reached an intraday high of Rs 131.60. Overall 11.18 lakh shares of the firm got altered to a turnover of Rs 14.24 crore on BSE. The company’s market cap went below Rs 99,476 crore today. The share which made its entry on July 23, reached a record high of Rs 147.80 by July 27, 2021.

Zomato share received a premium of 52% to IPO issue price. Share of Zomato started at Rs 116, 52.63% NSE compared to the issue price of Rs 76. Market cap crossed the Rs 1 lakh crore scale on a listing day.

The IPO shares were offered in a price band range of Rs 72-76. The issue was available from July 14 to July 16. The first initial public offer (IPO) was subscribed at 38.25 times. It received bids for 2,751.25 equity shares compared to an IPO size of 71.92 crore equity shares. Zomato received about Rs 4,196.51 crore from 186 anchor investors.

As of March 31, 2020, standalone losses increased 160% to Rs 2,451 crore.  However, the revenue surged from 98% to Rs 2,486 crore in the same quarter. Overall expenses went up to 36% to Rs 4,628 crore for March 2021 fiscal year from Rs 3,383 crore in the last year.

Source Business Today
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