The Busy Brains
29 Aug 2023
Tiger Global Management's investment fund, Internet Fund III Pte. Ltd., has successfully divested its remaining 1.44% stake in Zomato, a prominent player in the food tech industry. This significant move, accomplished through open market transactions, marks the conclusion of Tiger Global's association with the company.
The exit transaction involves the sale of 12.34 crore shares, achieving an average price of Rs 91.01 per share. This development comes after the fund's earlier decision to gradually disengage from its investment in Zomato.
Last year, Uber B.V. also executed a substantial sale of its shares, which amounted to a 7.8% stake in the company. The sale was made at an average price of Rs 50.44, reflecting the investor landscape at that time.
On the other side, Fidelity Investments and ICICI Prudential Life Insurance participated as buyers in this dynamic market scenario. Together, they acquired over 9 crore shares. ICICI secured 4.5 crore shares at an average price of Rs 50.25, while Fidelity obtained 5.4 crore shares at an average price of Rs 50.56.
This development follows Zomato's recent achievement of recording a profit of Rs 2 crore in the first quarter of the current fiscal year. This landmark achievement signals the company's growing financial stability and potential for further growth in the competitive food tech landscape.
As Zomato continues to make strategic moves and exhibit robust financial performance, the industry and investors are closely observing its trajectory in the market.