Zomato’s share price extended gains for the third straight session on Friday morning, going up over 1% even as another Chinese giant looked to offload shares.
What Happened: SoftBank is reportedly set to sell Zomato shares worth $135 million in another tranche via a block deal, equivalent to ₹1,125.5 crore. The shares will be offered at ₹120.50 per share, a slight discount from the stock’s last closing price of ₹121.70.
The buyers in this transaction have not been immediately identified. Earlier, in October, SoftBank, through its affiliate SVF Growth Singapore Pte, executed a bulk deal worth ₹1,040.5 crore, selling a 1.09% equity stake in Zomato. This followed a 1.17% stake sale in Zomato in August.
The exit comes on the heels of another Chinese giant exiting the foodtech company. Last week, Alipay, a subsidiary of Ant Group, divested its entire 3.44% stake in Zomato.
As of September-end, SoftBank held a 2.17% stake in the food delivery giant. SoftBank has been actively divesting its stake in various Indian new-age companies in recent months, including a substantial stake in Paytm and Delhivery.
Price Action: Zomato’s share price was up 1.52% to trade at ₹123.55 as the markets opened on Friday.
Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.