According to reports, SoftBank sells a 1.09% share for Rs 1,040 crore

23 Oct 2023 , 07:58 AM

 Through its subsidiary SVF Growth Singapore Pte, SoftBank most likely sold 1.09% of Zomato’s equity on Friday in a large transaction valued at Rs 1,040.5 crore. On the BSE, shares of the modern corporation were up 1% at Rs 112.70.

As of the end of the September quarter, SoftBank held 2.17% of the company’s shares.

In a block sale estimated at Rs 947 crore, SoftBank sold off roughly 1.17% of its ownership in Zomato in August of this year.

Renowned investors acquired interests in the company, including Morgan Stanley, Nomura, Kotak Mahindra MF, Invesco MF, Goldman Sachs, Franklin Templeton MF, Avendus, and Societe Generale.

Since August, when the lock-in for the post-Blinkit purchase expired, SoftBank has begun reducing its ownership of Zomato. The Japanese investor owned 3.35% of the company through its affiliate as of the end of June.

As payment for the M&A last year, Zomato granted new equity shares to all of the Blinkit shareholders who were selling. In contrast to the six-month statutory lock-in requirement, Zomato secured a 12-month lock-in for these shares after the purchase.

Just three venture capital investors—Softbank, Sequoia, and Tiger Global—own the majority of these shares.

In addition to Zomato, SoftBank, one of the first investors in India’s tech startups, has also started cutting its holdings in other businesses.

It sold a portion of its interest in PB Fintech earlier this month for a block deal worth Rs 869 crore. Before this, in July, it had sold off roughly 2% of its Paytm shares. SoftBank completed a series of open market transactions in May to sell a 2.07% share in the leading fintech company.

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