Thursday, August 11, 2022
BusinessZomato's board approved the deal to buy Blinkit for Rs 4,447 crore,...

Zomato’s board approved the deal to buy Blinkit for Rs 4,447 crore, know who will get how many shares

The board of online food delivery company Zomato on Friday, June 24 approved the acquisition of quick commerce company Blinkit for Rs 4,447 crore.

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The board of online food delivery company Zomato on Friday, June 24 approved the acquisition of quick commerce company Blinkit for Rs 4,447 crore. Blinkit was formerly known as Grofers.

In addition, Zomato’s restaurant supply subsidiary Hyperpure will also acquire the warehouse and ancillary services business of Hands on Trade Private Limited for Rs 60.7 crore.

The value of the Blinkit acquisition deal was initially estimated to be $700 million. However, due to the fall in Zomato’s shares, the deal size has come down to $568 million at the current exchange rate.

Deepinder Goyal, CEO, Zomato, said, “The Quick Commerce segment has been a key focus of our strategy for the past one year. We see this segment growing rapidly across the globe including India. Customers can also access grocery and other essentials. Very happy to get fast delivery of items.”

The deal also provides information on Blinkit’s annual turnover for the last three years. Blinkit’s annual turnover was Rs 165 crore in FY 2020, Rs 200 crore in FY 2021 and Rs 263 crore in FY 2022.

According to the terms of the deal, Blinkit’s largest shareholder SoftBank will get 28.71 crore shares of Zomato. On the other hand, Tiger Globe will get 12.34 crore shares of Zomato, BCCL 15 million shares and South Korean investor DAOL 3.66 crore shares.

In addition, the deal will increase Sequoia Capital’s stake in Zomato from 1.33 crore shares to 5.84 crore shares as it will get 4.51 crore new shares of Zomato through the deal.


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Meanwhile, shares of Zomato closed at Rs 70.15 with a gain of 0.86 per cent on the NSE on Friday. Shares of Zomato have gained 12.60 per cent in the last one month. Although looking at it since the beginning of this year, its shares have lost nearly 50.37 per cent.

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