India: Info Edge to sell stake worth $100m in Zomato’s upcoming IPO

Photo: Zomato

In its official submission to the Bombay Stock Exchange (BSE), Info Edge India Ltd., on Tuesday said that it will be selling its stake worth 750 crore in Zomato’s upcoming public offering.

The foodtech platform is expected to file its draft red herring prospectus by tomorrow morning, told one of the individuals aware of the discussion to Mint.

“The Board of Directors of the Company today considered and have given their approval to the Company to participate in the said Offer for Sale of up to such number of shares of Zomato Limited as would aggregate upto  7,500 million, the terms and conditions of which will be specified in the Draft Red Herring Prospectus, the Red Herring Prospectus and the Prospectus, and in certain other offer documents and agreements,” said Info Edge as a part of its official filings.

Info Edge, which has been an early backer of the foodtech platform owned almost 18.4% stake in the company, after its latest funding round in February, this year.

The company is now eyeing for a $1 billion listing, as a part of its public offering, a second individual told Mint.

Foodtech unicorn, Zomato has been gearing up for its initial public offering (IPO) over the last year, and had appointed Kotak Mahindra Bank as its lead merchant banker. It also appointed Cyril Amarchand Mangaldas and Indus Law, as legal advisors to assist in its IPO, back in November, last year.

The company had also made changes to its leadership appointing Akshant Goyal as its new chief financial officer, who has also previously been an investment banker with Kotak Mahindra Bank.

In the run up to its IPO, the company has also raised close to $910 million, and bought in 10 new investors, including Kora Management LP, Baillie Gifford, Luxor Capital, Steadview, D1 Capital and Mirae Asset on its cap table.

As per its latest fund raise, Zomato was valued at close to $5.4 billion, and may look at a valuation of upto $8 billion with its public listing, according to media reports.

This article was first published on livemint.com.

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.