Zomato firming up plans for a public listing

Food delivery platform Zomato is likely to file its Draft Red Herring Prospectus (DRHP) with the market regulator on April 23, a move that will herald one of India's most anticipated internet initial public offerings (IPOs) in a tumultuous year.

Zomato, which counts Info Edge, Sequoia Capital, Temasek and Tiger Global as investors, will submit its DRHP with Securities Exchange Board of India (SEBI) for a listing of its shares today.

The company's internal review of the IPO and other processes was completed on Thursday, one of the persons cited above said. SEBI will take about two weeks to review the DRHP and the final launch will depend on the market conditions.

The move comes a few days after Zomato converted itself from a private company to a public limited company by amending its Memorandum of Association and renaming itself Zomato Limited. It said the move to become a public limited company was required as it plans to consider filing the DRHP with SEBI and relevant stock exchanges to list its equity shares on one or more of the stock exchanges. It was originally incorporated as a private limited company on January 19th, 2010.

Zomato reported a revenue of Rs 2,486 crore for FY20, even as its losses widened to Rs 2,451 crore during this period, as the pandemic shrunk order volumes and dined out revenue.