Ant Group's Alipay to sell 3.4% stake in Zomato via $395 mn block deal: Report

  • IANS
  • Stock Market News
Ant Group's Alipay to sell 3.4% stake in Zomato via $395 mn block deal: Report

New Delhi, Nov 29 (IANS) Digital payments platform company Alipay, owned by Ant Group, is reportedly selling a 3.44 per cent stake in online food delivery platform Zomato (NS: ZOMT ) and is expected to raise up to $395 million via a block deal.The shares translate to up to 296.1 million shares, according to a term sheet seen by The Wall Street Journal.

As per the term sheet, the floor price was kept at Rs 111.28 ($1.33) per share, a 2.2 per cent discount to Zomato's last traded price of Rs 113.80.

The expected settlement date is November 30, the report mentioned.

According to the term sheet, BofA Securities and Morgan Stanley (NYSE: MS ) are acting as placement agents on the deal.

Meanwhile, Zomato has registered Rs 36 crore as profit after tax (PAT) in the quarter ending September 30, as its revenues surged 71 per cent to Rs 2,848 crore.

The online platform had registered a net loss of Rs 302 crore with revenues at Rs 1,661 crore in the same period last year.

"We think that QoQ GOV growth in food delivery in the next quarter should be moderate -- around high single digit which should translate to about 25-30 per cent YoY GOV growth," Zomato CFO Akshant Goyal said in a letter to shareholders.

--IANS

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