Zomato plans to promote shares priced between 72 and 76 rupees (97 cents to $1.02) per share and shut its books on Friday. At the higher finish of the worth vary, Zomato can be valued at nearly $eight billion.
Its founder Deepinder Goyal started Wednesday with a nervous tweet: “Just ordered a triple breakfast @zomato. Stress eating.”
Investors are carefully watching the providing, which can give some perception into the market’s urge for food for Indian startups. The nation has a ton of tech unicorns — firms which have reached a valuation of at the least $1 billion — however none of them have ever gone public earlier than.
“This IPO is in some sense the beginning of the Indian digital ecosystem’s promises starting to get fulfilled,” Ashish Fafadia, accomplice at the Indian enterprise capital agency Blume Ventures, instructed CNN Business.
He stated buyers can be how the corporate performs after it lists, together with how effectively Zomato is ready to hit quarterly targets.
“The ultimate long-term test would be if they are able to become a profitable business,” he added.
Paving the best way
Zomato was based in New Delhi in 2008 by Goyal. The firm has constructed a reputation for itself as considered one of India’s most profitable startups, with a staff of greater than 5,000 workers and a attain throughout greater than 10,000 cities in two dozen nations, from Sri Lanka and Slovakia to South Africa.
Zomato’s public providing this month might additionally pave the best way for extra Indian unicorns to go public down the highway.
Zomato’s IPO may also function one other check for the carefully watched international meals supply trade. Deliveroo’s IPO crashed in London earlier this yr regardless of nice fanfare, turning into town’s worst debut on report.
— Michelle Toh contributed to this report.