Zomato IPO: LAST DAY to subscribe today! Check Day 1, Day 2 subscription so far and other key DETAILS

As the offer ends today, the food delivery aggregator — Zomato’s initial public offer has received an overwhelming response, as the offer was oversubscribed 4.8 times on the second day on Thursday.

The three-day IPO was launched on July 14 to 16, 2021. The retail investors continued to pour in bids for the offer, which reflects the popularity of the brand. 

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According to the data available on exchanges, the food delivery platform received overall bids for 344.76 crore shares against 71.92 crore shares offered. 

In this, alone retail investors sought 34.88 crore shares against 12.95 crore reserved for them on the opening day, they have sought total 61.25 crore shares or 4.7 times the quota reserved for them.

On the first day of IPO Wednesday, bids for 75.60 crore equity shares were received. Zomato’s IPO is considered to be biggest so far after SBI Cards which was over Rs 10000 crore in March 2020.

Even Qualified Institutional Buyers (QIBs) also bid 7 times their reserved quota of 38.88 crore shares. However, the quota of non-institutional investors and employees wasn’t fully subscribed. 

While the employees' portion was subscribed 36 per cent, and non-institutional investors bid above 45 per cent of their quota.

The company backed by Jack Ma’s Ant Group has already mobilised Rs 4,196.51 crore from 186 anchor investors a day before the issue opened on July 13, 2021. The IPO size has been reduced to Rs 5,178.49 crore from Rs 9,375 crore earlier. a price band is set between Rs 72-76 per share.

Zomato is one of the first Indian unicorn startups to launch an IPO. It is also the first among Indian online food aggregators. The IPO comprises a fresh issue of equity shares worth Rs 9,000 crore and an offer-for-sale (OFS) worth Rs 375 crore by existing and early investor Info Edge (India). 

The net proceeds raised from the fresh issue will be used for funding organic and inorganic growth initiatives (Rs 6,750 crore) and general corporate purposes.