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Sequoia Capital pares stake in Zomato

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Capital Market
Last Updated : Aug 27 2022 | 10:04 AM IST

Sequoia Capital has sold a 2.01% stake in the online food ordering platform through the open market route.

In a filing on Friday (26 August 2022), Zomato said that Sequoia Capital India sold 6.66 crore shares between 6 September 2021 and 14 October 2021 and 10.52 crore shares between 27 June 2022 and 25 August 2022 through its two investment vehicles--Sequoia Capital India Growth Investment Holdings I and SCI Growth Investments II.

Sequoia Capital India has thus sold 17.19 crore shares of Zomato in the open market so far, bringing its stake down to 4.4% from 6.41% earlier.

Zomato connects customers, restaurant partners and delivery partners. Customers use Zomato to search and discover restaurants, read and write customer generated reviews and view and upload photos, order food delivery, book a table and make payments while dining-out at restaurants. On the other hand, it provides restaurant partners with industry-specific marketing tools which enable them to engage and acquire customers to grow their business while also providing a reliable and efficient last mile delivery service. The company also operates a one-stop procurement solution, Hyperpure, which supplies high quality ingredients and kitchen products to restaurant partners.

The online food delivery platform reported a consolidated net loss of Rs 186 crore in Q1 June 2022, as against net loss of Rs 360.70 crore in Q1 June 2021. Revenue from operations stood at Rs 1,413.9 crore in Q1 June 2022, up 67.44% from Rs 844.4 crore reported in Q1 June 2021.

Shares of Zomato fell 0.24% to Rs 61.90 on Friday, 26 August 2022.

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First Published: Aug 27 2022 | 9:29 AM IST

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