Zomato said in a communication sent to the stock exchange on Friday that the deal would be done under the share swap arrangement.
There is a huge volatility in the delivery services sector in the country. Meanwhile, the deal between Blinkit and Zomato, which has been in the news for the past several days, has finally been sealed. Blinkit, formerly known as Grofers, is providing 10 minutes delivery service of ration in many cities of the country. Online food delivery company Zomato has bought Blinkit Commerce Pvt Ltd (formerly Grofers) for Rs 4,447.48 crore.
Zomato said in a communication sent to the stock exchange on Friday that the deal would be done under the share swap arrangement. The board of directors of the company in its meeting held on Friday approved the acquisition of 33,018 shares from the shareholders of Blinkit Commerce at a price of Rs 13.45 lakh per equity share. Thus, the deal is worth Rs 4,447.48 crore. Under this deal, 62.85 crore fully paid-up equity shares of face value of Re 1 of Zomato will be issued at the rate of Rs 70.76 per equity.
Regarding this deal, Zomato said, “This acquisition is in line with our strategy to invest in the business of instant delivery of goods.” In a letter to shareholders regarding the proposed acquisition of Blinkit, Zomato’s founder and CEO Deepinder Goyal said, “Instant delivery of goods has been a priority area in our strategy for the past one year.”
“We have seen this sector growing rapidly in India and globally. Immediate delivery of grocery and other essential items has become very important for the customers. This business is also aligned with our core food business, which supports the long-term growth of the company.” was approved. Last year, the company had also invested $100 million (Rs 745 crore) to acquire around nine per cent stake in Grofers (formerly known as Grofers).
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