Zomato IPO Sold in 1 day

in hive-175254 •  5 months ago 

I have never gone through any IPO ever until now but these days in this space Zomato is the king. Everyone is talking about zomato IPO and expecting that it will get listed on premium price and will bring impressive returns to investors.

Zomato is a food delivery company and its one of the top companies here in India in this segment. They have a good huge number of userbases added in the last few years. They had also purchased Ubereats to remove the competition and as of now, there are 3 players in the market however only 2 can be considered doing well. Online food ordering is a growing segment and its something that people like more and thats what helping zomato to grow. Swiggy is also there offering food delivery through their app and website but zomato has been the leader.



Zomato IPO was started on 14th July 2021 and within one day it all sold. This clearly shows that people like to invest in zomato since they believe that this has a bright future as people like to have things delivered at home instead of going outside. Zomato is a technology company now investors like to invest in companies that are tech-driven and their concept is futuristic. Zomato fits in this shape and seems like its going to get oversubscribed by a higher multiply number.

The initial public offering of Zomato, one of the leading foodservice platforms in India, subscribed 1.26 times on July 15 so far, the second day of bidding. The offer has received bids for 90.57 crore equity shares against an IPO size of 71.92 crore equity shares, the subscription data available on the exchanges showed.

I am not an investor in Zomato so far and probably I am not going to invest because I am too new IPO segment, however, trying to learn more see how this segment work as part of the investment. Its a truth that zomato is not a profit-making company and it runs on investor's money but hopefully after the IPO they would start generating profit. Recently they increased their delivery charges and commission that they charge to the restaurant.



I am keeping a close eye to see how zomato IPO gets oversubscribed and it would be interesting too. There is news that LIC is also planning to invest in this IPO however they are yet to do this but once they confirm then it will get a good amount of over-subscription.

Thank you.

Stay Safe.

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

@tipu curate 2

Thanks for sharing don't have much idea about IPO either wish the company success in their endeavor.

Great explanation about zomato IPO and veryuseful for those who are willing to invest their money in new leading share. People always prefer famous things to invest. Anyway keep sharing posts like this.