SoftBank Reportedly Exploring Block Deals to Sell Zomato Shares
- ByStartupStory | August 25, 2023
According to CNBC-TV18, SoftBank is considering selling its Zomato shares through block deals as the 12-month lock-in period for investors following the Blinkit deal is set to end today. SoftBank, led by Masayoshi Son, acquired a 3.35% stake in Zomato as part of the merger arrangement, stemming from the VC firm’s previous investment in Blinkit. The Japanese investment company gained Zomato shares at a calculated value of Rs 70.76 per share. As stipulated in the agreement, SoftBank, Sequoia Capital, and Tiger Global were required to adhere to a mandatory lock-in period. The shares acquired from the deal will become tradable starting Monday, August 28.
Zomato’s unexpected profit of Rs 2 crore in the June quarter, surpassing earlier expectations, brought a positive boost to its investors and the stock market, as reported by YourStory. Operating revenue surged by 71% to Rs 2,416 crore from Rs 1,414 crore in the previous year, largely driven by significant growth in Hyperpure, the company’s restaurant supplies vertical.
Akshant Goyal, Zomato’s Chief Financial Officer, shared, “Realistically speaking, we were expecting to hit this milestone in the September quarter (Q2 FY24), and we were being conservative in our earlier guidance. However, some critical parts of the team across our businesses out-executed our expectations/plans, and some of our initiatives delivered better outcomes than we had expected.” Goyal expressed confidence that the company is poised to maintain profitability in the foreseeable future, projecting a year-on-year adjusted revenue growth of over 40% for the next several years.
Follow Startup Story
Related Posts
