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Tiger Global sells half of Zomato stake on the open market

August 04, 2022

Tiger Global sells half of Zomato stake on the open market
Tiger Global’s Singapore-based Internet Fund VI sold off nearly half of its shareholding in food delivery firm Zomato, the former disclosed in a filing with stock exchanges. The shares were all sold on the open market between July 25 and August 2, according to the filing. Tiger Global had a 5.11% stake in Zomato before the sell-off, and now has a 2.77% share, worth around Rs 1,043 crore at Zomato’s current share price.

This disclosure comes a day after Uber sold all of its 7.8% shareholding in the company. According to data from the Bombay Stock Exchange, some of this stake was picked up by Fidelitys’ Emerging Markets Fund and ICICI Prudential.

We have reached out to Zomato and Tiger Global for comment.

Zomato’s shares dipped on Wednesday after the news spread of Uber’s stake sell-off, but has mostly recovered since then. The company’s recent earnings report showed reduced losses and increased revenue, rallying its share price.

The company is also undergoing a restructuring under the new corporate name Eternal, where its B2B restaurant kitchen business, its instant grocery delivery service, and its nonprofit, will all be led by separate CEOs. Zomato had acquired Blinkit in an all-stock $568 million deal in June, at a steep discount.

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