Food delivery company Zomato’s IPO was fully subscribed as soon as it opened yesterday. In the company’s target of raising Rs 9,375 crore, it has secured 4200 crores from anchor investors.
Zomato’s IPO is fully subscribed on the very first day
Everyone was eagerly waiting for the opening of the IPO of the country’s popular food delivery company Zomato. This is the reason why it got a tremendous response in the market as soon as it opened on Wednesday. Investors invested heavily in it. So on the very first day this IPO is fully subscribed. In the matter of subscription too, retail investors showed confidence in it and till last evening it was over-subscribed 2.69 times. Not only this, Zomato’s IPO has already raised Rs 4200 crore from anchor investors.
This IPO of Rs 9,375 crore is open till Friday evening. Big investors like Tiger Global, BlackRock, Government of Singapore, JP Morgan, Goldman Sachs and Morgan Stanley have shown interest in this IPO of Rs 9,375 crore. The company has fixed a price range of Rs 72 to 76 for this IPO.
This issue of Zomato was the first to be over-subscribed by retail investors, while Qualified Institutional Buyers (QIBs) have almost completely subscribed for their shares so far. Similarly, non-institutional investors (NIIs) have subscribed 13 per cent of the shares reserved for them. Reserved shares for Zomato employees are 18% subscribed. In this IPO, 75 percent of the shares have been reserved for QIBs, 15 percent for NIIs and the remaining 10 percent for retail investors.
Let us tell you that the company is supported by Jack Ma’s Ant Group Company. Zomato is the first company in India’s long list of unicorn startups to IPO. It is believed to be the second highest IPO after SBI Cards and Payment Services (Rs 10,341 crore) which came in March 2020. The Zomato company has set a target of raising Rs 9,375 crore through IPO. The company will use this money for organic and inorganic growth and general business operations.
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