Zomato to launch grocery section on its app, confirmed its investment with Grofers

Zomato’s IPO is set to open its subscription from July 14 and will close on July 16

Earlier in the day, Zomato held a press conference in which it said that it will soon be launching a grocery section on its app, and will be confirming its $100 million investment in the SoftBank-backed online grocery firm Grofers while announcing its IPO.

It was for the first time that Zomato spoke about its investment in the grocery firm.

Zomato has fixed the price of the band for its IPO starting at  Rs 72-76 per equity share. The Rs 9,375-crore this offer will open its subscription from July 14 and will close on July 16.

Initial Public Offer comprises its fresh issuance of around Rs 9,000 crore, and an offer for sale of Rs 375 crore by existing selling shareholder Info Edge.

Earlier this week, NRAI moved the Competition Commission of India against Zomato claiming that their practices have an “appreciable adverse effect on competition”.

Zomato has also announced about it has no plans to enter with the private label products at that time when the government is trying to tighten the rope for marketplaces by running such segments on their platforms.

Besides this, Zomato has not entered into the private-label brands for its pure food segment, it has recently entered the nutraceutical business with the launch of private label and health supplements.

Its also seen that rival associate  Swiggy that runs private label brands such as The Bowl Company and Homely.

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