Zomato gears up for $2 billion acquisition, share prices spike

After Blinkit, on-line meals supply platform, Zomato, is gearing up for one other big acquisition. Now, the corporate has supplied to accumulate home logistics options supplier ShipRocket for about $ 2 billion (greater than Rs 16,600 crore). Bloomberg, citing individuals conscious of the event, reported that Zomato has supplied to purchase the corporate and no closing resolution has been taken but on the deal.

Past acquisitions by Zomato

In August final yr, Zomato-backed ShipRocket raised $33.5 million giving it a valuation of about $1.2 billion. In the identical month, Zomato accomplished the acquisition of fast commerce firm Blinkit (previously Grofers) and its warehousing and help providers enterprise. Zomato’s board had accepted a transaction price Rs 4,447 crore for the acquisition of Blinkit. The subsidiary enterprise was bought for Rs 61 crore.

Zomato shares proceed upward pattern

This yr, the bullish section of Zomato’s inventory continued. Zomato’s shares have now crossed Rs 128 from Rs 46 in January giving it a return of 117.47 p.c. Even on Thursday, the inventory rose by greater than 2 p.c. Market consultants say that the rising pattern in shares could proceed additional. Market consultants say that the rising pattern in shares could proceed additional with the corporate now making earnings. 

What is ShipRocket’s enterprise?

Launched in 2017, ShipRocket presents a know-how stack to assist retailers combine their procuring web sites on Shopify, Magento, WooCommerce, Zoho, and others. It additionally offers state-of-the-art success options with over 45 warehouses positioned throughout the nation. 

Meanwhile, ShipRocket is reportedly in talks with high VC companies to boost funds up to Rs 75-100 million led by US-based funding agency Tribe Capital. According to a TechCrunch report final week, quoting sources, ‘Talks relating to funding are ongoing and phrases could change.’ Both Tribe Capital and ShipRocket didn’t touch upon the report. Bengaluru-headquartered Shiprocket goals to be prepared for IPO within the subsequent 12 to 18 months. It goals to distribute round Rs 100 crore to SMBs within the subsequent 12 months.

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