you are here: HomeNewsBusiness

Zomato raises $660 million at a valuation of $3.9 billion

Ten new investors, including Tiger Global, Kora, Luxor, Fidelity (FMR), D1 Capital, Baillie Gifford, Mirae, and Steadview, participated in the funding round, founder Deepinder Goyal annonced on the microblogging site Twitter.

December 19, 2020 / 07:06 AM IST
 Zomato is also in the process of closing a $140 million secondary transaction.

Zomato is also in the process of closing a $140 million secondary transaction.


Food delivery startup Zomato on December 18 closed a $660 million primary financing round, valuing it at $3.9 billion, said its founder Deepinder Goyal.

Ten new investors, including Tiger Global, Kora, Luxor, Fidelity (FMR), D1 Capital, Baillie Gifford, Mirae, and Steadview, participated in the funding round, he annonced on the microblogging site Twitter.

On top of this $660 million, Zomato is also in the process of closing a $140 million secondary transaction and has already provided liquidity worth $30 million to its ex-employees, he added.

Also Read: Exclusive: It’s party time for Zomato, ahead of potential IPO

In series of tweets, Goyal said December 2020 is expected to be the highest ever GMV month in the startup's history, as food delivery in India is "rapidly coming out of shadows".

Close
"December 2020 is expected to be the highest ever GMV month in our history. We are now clocking ~25 percent higher GMV than our previous peaks in February 2020," he tweeted.

Thanking investors for for their contribution in building Zomato, Goyal said: "I am glad that we created some wealth for these super amazing people. A number of these ex-zomans are busy working on their own startups and will not need to raise seed capital from external investors."

He said the tailwinds for food delivery businesses were clearly visible, and the growth of the sector will accelerate post COVID-19 vaccine.

The food delivery startup plans to go public next year, CEO Goyal had told employees in September.

Zomato plans to file for an initial public offering (IPO) in the first half of next year, although whether it will list in India or the US is unclear.

Moneycontrol first reported on August 9 that Zomato is preparing for an IPO next year, and hence looking to reduce its cash burn and get closer to profits.

Moneycontrol in November had reported that the food delivery startup is preparing to appoint merchant banks and law firms as it braces to become the first modern consumer internet IPO to list on the Indian bourses.

If Zomato’s plans fructify, it will be the first internet IPO since B2B online player IndiaMart InterMesh made its debut on D-street in June 2019. Local search engine company Just Dial ( in 2013) and Info Edge ( an investor in Zomato which debuted way back in 2006) are two other instances of internet IPOs on the domestic bourses. Online travel company MakeMyTrip listed overseas on the Nasdaq in 2010.
Moneycontrol News

stay updated

Get Daily News on your Browser
Sections