Info Edge (India) rose 2.09% to Rs 5047.80 after the company announced that it will sell its stake worth Rs 750 crore in Zomato via offer for sale (OFS) in the food delivery aggregator's upcoming initial public offering (IPO).
In a regulatory filing made during market after market hours on Tuesday (27 April 2021), the company said that Zomato is proposing an IPO of its equity shares, comprising a fresh issue of equity shares by Zomato and an offer for sale by Info Edge (India).
The board of Info Edge has approved the company to participate in the said offer for sale of up to such number of shares of Zomato as would aggregate upto Rs 750 crore, 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.
In February 2021, Zomato had raised $250 million in funding from five different investors, valuing the online food ordering platform at $5.4 billion.
"On a fully converted and diluted basis, Info Edge's effective stake in Zomato stands at 18.4%," Info Edge had said.
Info Edge (India) is among the leading internet companies in India. The company runs leading internet businesses viz. Naukri.com, Jeevansathi.com, 99acres.com and Shiksha.com. The company also owns Quadrangle and Naukri Gulf. It has made significant strategic investments such as zomato.com, policybazaar.com and happily unmarried.com etc.
On a consolidated basis, Info Edge (India) reported a net profit of Rs 679.04 crore in Q3 December 2020 as compared to a net loss of Rs 62.12 crore in Q3 December 2019. Net sales declined 17.1% YoY to Rs 277.64 crore during the quarter.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU