Japanese tech conglomerate SoftBank is reportedly planning to offload a 1.1% stake in the food delivery giant, Zomato, through block deals facilitated by its affiliate SVF Growth Singapore Pte. The transaction, scheduled for Friday, is anticipated to involve an offer price within the range of Rs 109.4 to Rs 111.6 per share, with an overall valuation of Rs 1,024 crore.
As of the end of the September quarter, SoftBank holds a 2.17% stake in Zomato, indicating this divestiture represents a part of its holdings. SoftBank’s move to reduce its stake in Zomato comes in the wake of the company’s surging popularity and growing market presence in the food delivery industry.
Zomato has been expanding its services and exploring various strategic avenues to strengthen its position in the highly competitive sector.
Exciting news! We’re now on WhatsApp Channels too. Subscribe today by clicking the link and stay updated with the latest insights in the startup ecosystem! Click here!
This transaction suggests SoftBank’s strategic decision to capitalize on its investment and potentially reallocate funds in line with its broader investment goals. Zomato, with its significant market share and continuous growth, remains an attractive player in the food delivery space, making it a substantial asset in SoftBank’s investment portfolio.
