About the Company:
Zomato’s technology platform connects customers, restaurant partners and delivery partners, serving their multiple needs.
Customers use the platform to search and discover restaurants, read and write customer generated reviews and view and upload photos, order food delivery, book a table and make payments while dining-out at restaurants.
Company provides restaurant partners with industry-specific marketing tools which enable them to engage and acquire customers to grow their business while also providing a reliable and efficient last mile delivery service.
Company also operates a one-stop procurement solution, Hyperpure, which supplies high quality ingredients and kitchen products to restaurant partners. Company also provide delivery partners with transparent and flexible earning opportunities.
Zomato is present in 526 cities in India, with 350,174 Active Restaurant Listings.
Company’s Platform Offerings:
Zomato’s business is built around the core idea that over time, people in India are going out to eat at restaurants more than they cook at home.
To capture value out of this shift in customer behavior, company has two core business-to-customer (B2C) offerings – (i) Food delivery and (ii) Dining-out, in addition to our business-to-business (B2B) offering (iii) Hyperpure.
Another important part of business is (iv) Zomato Pro, our customer loyalty program which encompasses both food delivery and dining-out.
Food Delivery Business:
Company has consistently gained market share over the last four years to become the category leader in the food delivery space in India in terms of GOV from October 1, 2020 to March 31, 2021.
Company has experienced rapid growth in food delivery in India with Orders increasing by 13.2 times from 30.6 million in Fiscal 2018 to 403.1 million in Fiscal 2020.
Company’s GOV (Gross Order Value) growing 8.4 times from Rs.1334.1 crores in Fiscal 2018 to Rs.11,220.9 crores in Fiscal 2020.
There are three key stakeholders in our food delivery business – (i ) Customers, (ii) Delivery Partners, and (iii) Restaurant Partners.
On an average, 10.7 million customers ordered food every month on our platform in India in Fiscal 2020 with an average monthly frequency of over three times. In the
nine months ended December 2020, 99.3% of our food delivery Orders came through Zomato’s mobile application.
Zomato has one of India’s largest hyperlocal delivery networks in terms of number of delivery partners,Company had 161,637 Active Delivery Partners during the month of December 2020.
In Fiscal 2020, company had (on an average) 131,233 Active Food Delivery Restaurants every month.
As of December 31, 2020, zomato had 350,174 Active Restaurant Listings on our platform and in Fiscal 2020, 157.0 million units of CGC was generated on our platform, which makes zomato the largest food-focused restaurant listing and reviews platform in terms of customer base, in India, as of December 31, 2020.
Company is also the largest online table reservations platform in India, with 12.2 million Covers booked through our platform in Fiscal 2020.
In Fiscal 2020, 8,064 restaurant partners paid for our advertising sales product in India.
B2B Supplies (Hyperpure) Business:
Hyperpure is zomato’s farm-to-fork supplies offering for restaurants in India. Company sources fresh, hygienic, quality ingredients and supplies directly from farmers,
mills, producers and processors to supply to our restaurant partners, helping them make their supply chains more effective.
Restaurant partners ordering supplies through Hyperpure get a “Hyperpure Inside” tag on their Zomato page, which is intended to provide customers with an assurance of the quality of ingredients used at the restaurant.
Company had started Hyperpure in 2019 and are growing rapidly. In the month of December 2020, company supplied to over 6,000 restaurant partners across six cities in India.
“Zomato Pro” Business:
Company has an exclusive paid-membership program, Zomato Pro, which unlocks flat percentage discounts for our customers at select restaurant partners across both food delivery and dining-out offerings.
The Pro Restaurant Partners choose and fund the percentage discount available to Pro Members at their restaurants. The customers become Pro Members by paying zomato a membership fee.
The program allows Pro Restaurant Partners to market themselves to a select audience. As of December 31, 2020, company had 1.4 million Pro Members and over 25,350 Pro Restaurant Partners in India.
- Mr. Kaushik Dutta (Designation: Chairman and Independent Director)
- Mr. Deepinder Goyal (Designation: Managing Director and Chief Executive Officer
Objectives of the Issue:
Offer for Sale: (Rs. 375 cr )
- Company will not receive any proceeds from the Offer for Sale and the proceeds received from the Offer for Sale will not form part of the Net Proceeds.
Fresh Issue: (Rs.9000 cr )
- Funding organic and inorganic growth initiatives.
- General corporate purposes.
Peer Group Comparison:
There are no listed companies in India whose business portfolio is comparable with that of Zomato’s business and comparable to Zomato Ltd’s scale of operations. Hence we cannot make any comparison.
Financials of the Company: (Consolidated)
|(in Crores)||FY 18||FY 19||FY 20||FY 21|
|Issue Opens on||14th July 2021|
|Issue Closes on:.||16th July 2021|
|Issue Price||Rs. 72 – 76|
|Face Value||Rs. 1|
|Retail Category Allocation||10%|
|Minimum Lot||195 shares|
|Minimum Investment||Rs. 14,820|
|Issue Size||Rs. 9375 cr ($1.26 billion)|
|Market Cap||Rs. 59,623 cr ($8.05 billion)|
|Listing at||NSE & BSE|
|Equity Shares Offered (Fresh)||118,42,10,526|
|Equity Shares Offered (OFS)||4,93,42,105|
|Total Equity Shares Offered (Fresh + OFS)||123,35,52,630|
|Equity Shares Prior to the Issue||666,09,69,150|
|Equity Shares after the issue||784,51,79,676|
Also Read : List of Upcoming IPO’s in India.
|Finalization of Basis of Allotment||On or before 22nd July 2021|
|Initiation of Refunds||On or before 23rd July 2021|
|Credit of Equity Shares:||On or before 26th July 2021|
|Listing Date:||On or before 27th July 2021|
Subscription Details: (Will be Updated)
|(Subscription-Category-Wise (no. of times) Till time : 06:00 PM)||Shares Offered||Day-1||Day-2||Day-3|
IPO Valuation Parameters:
|Earnings Per Share (EPS)||Price To Earnings ratio (PE)||Return on Net Worth (RoNW)||Net Asset Value (NAV)|
|Check IPO Allotment Status:|
Link InTime Website: https://linkintime.co.in/PublicIssue/
BSE IPO Website: https://www.bseindia.com/IPO/Allotment
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|Company Contact Info:|
Ground Floor, 12A
94 Meghdoot, Nehru Place
New Delhi 110 019
Tel: +91 011 4059 2373
|IPO Registrar Info:|
|Link Intime India Private Limited
C-101, 247 Park, 1st Floor
L.B.S. Marg, Vikhroli West
Mumbai 400 083
Tel: +91 22 4918 6200