SUMMARY
- Zomato secured ₹8,500 crore via Qualified Institutional Placement (QIP), issuing 33.64 crore equity shares at ₹252.62 per share, a 5% discount to the floor price of ₹265.91.
- A significant portion, ₹2,137 crore, will fund the establishment and operations of dark stores and warehouses.
- CEO Deepinder Goyal cited the competitive landscape and the need for capital to match the business’s growing scale as key drivers for the funding.
Zomato, the leading food-tech giant, has raised ₹8,500 crore through a Qualified Institutional Placement (QIP). The fundraising involved the issuance of 33.64 crore equity shares at an issue price of ₹252.62 apiece, which reflects a 5% discount from the floor price of ₹265.91 per share.
A significant portion of the capital, ₹2,137 crore, has been earmarked to establish and operate dark stores and warehouses, aimed at strengthening Zomato’s logistics and delivery capabilities. The company is leveraging these investments to optimize its hyperlocal delivery model and improve the efficiency of its supply chain.
In a statement, Zomato CEO Deepinder Goyal emphasized the necessity of raising additional capital due to the competitive landscape and the expanding scale of the company’s operations. Goyal highlighted that as Zomato continues to scale, its investment needs have grown proportionally, necessitating fresh funding to maintain its market position.
This QIP marks a pivotal step for Zomato, as the company seeks to expand its infrastructure and services amidst increasing competition from players like Swiggy and Blinkit. The move is expected to enable Zomato to further solidify its foothold in the fast-growing quick commerce segment, where demand for faster deliveries is surging.
The food-tech sector in India is witnessing rapid growth, with companies aggressively investing in dark stores, last-mile delivery, and supply chain infrastructure to meet evolving customer expectations. Zomato’s strategic push to enhance its warehousing and logistics capabilities aligns with these broader industry trends.
