Antfin Singapore, a subsidiary of the Chinese tech giant Ant Group, divested a 2% stake in foodtech major Zomato via bulk deals for INR 2,827 Cr on Wednesday.
According to BSE data, Antfin sold 9.7 crore shares of Zomato at a price of INR 160.40 per share, along with an additional 7.93 crore shares at INR 160.11 each.
Together, these two transactions amounted to a total value of more than INR 2,827 Cr.
Continue Exploring: Antfin Singapore mulls selling 2% stake in Zomato for INR 2,800 Cr amid surging share prices
Morgan Stanley Asia (Singapore) took the chance to acquire some of the offloaded shares. It purchased over 5.68 crore shares of the foodtech giant at INR 160.1 apiece, amounting to a total deal of INR 909.5 Cr.
At the close of the December quarter in 2023, the Chinese investment firm maintained a 6.42% ownership stake in the company.
This development comes as Zomato shares continue to scale new heights, hitting a record peak of INR 175.5 during intraday trading on Monday (March 4). With this surge, Antfin could be contemplating profit booking, as the startup gains popularity among investors amid sustained profitability and revenue growth.
Zomato witnessed a remarkable surge in its profit after tax (PAT), jumping by 283% quarter-on-quarter (QoQ) to INR 138 Cr in the quarter concluding December 2023. Furthermore, operating revenue grew to INR 3,288 Cr from INR 2,848 Cr in Q2 FY24.
Continue Exploring: Continue Exploring: Zomato reports third consecutive profitable quarter with INR 138 Cr PAT in Q3 FY24
Fueled by strong financial performance, Zomato’s shares have skyrocketed by almost 200% over the last 12 months. Additionally, the stock has experienced a surge of more than 30% on a year-to-date (YTD) basis.
As a result, several prominent investors have divested their holdings in the company in recent months to capitalize on profits. In January, Societe Generale sold more than 86.5 lakh shares of Zomato in a block deal worth INR 117 Cr, while Motilal Oswal Mutual Fund executed a block deal valued at INR 621.6 Cr.
Before that, SoftBank sold 9.35 crore shares of Zomato in a block deal worth INR 1,127 Cr in December 2023.
Meanwhile, Zomato shares concluded Wednesday’s trading session down by 2.68% at INR 161.60 on the BSE.
Continue Exploring: Zomato’s shares reach record high of INR 175.5 amidst bullish market sentiment
