Zomato Block Deal: Softbank Sells Stake For Rs 1,040 Crore; Fidelity Investments, Mutual Funds Top Buyers

Zomato Block Deal: One of the most expected block deals has finally concluded with a Japanese multinational investment holding company, Softbank selling a 1.09% stake in the online food delivery giant, Zomato for a little over Rs 1,040 crore. There were many buyers of Zomator shares as well including retirement plans provider, Fidelity Investments.

The block deal was carried on NSE during the October 20th trading session.

As per the block deal data, Softbank-backed SVF Growth (Singapore) sold 9,35,69,368 equity shares in Zomato at an average price of Rs 111.20 apiece. The transaction resulted in a stake sale of 1.09% in Zomato for Rs 1,040.49 crore.

Following this block deal, Softbank's shareholding in Zomato has declined to 1.08% from earlier 2.17%.

In the block deal on Friday, while Softbank exited, many investors showed keen interest for Zomato. Fidelity Investment Trust alone bought 1,06,98,700 equity shares in Zomato, while it also made small buys through its other fund houses like Fidelity Emerging Markets, Fidelity Cent Invst Port LLC, Fidelity Qualifying Investor Funds PLC, Fidelity Rutland Square Trust II and Fidelity Management And Research among others.

Indian mutual funds and insurance companies also purchased some portion of shares in Zomato. These were -- HDFC Mutual Fund, India Acorn Fund, Motilal Oswal MF, Axis Mutual Fund and Bandhan Mutual Fund. Max Life Insurance and Variable Insurance Products Fund were also among others.

Other global investors in Zomato were Goldman Sachs, Morgan Stanley, Optimas Global Alpha Fund, and Abu Dhabi Investment Authority.

On Friday, Zomato shares ended at Rs 113.70 apiece, up by 1.84% on NSE. The stock was near its 52-week high of Rs 115.10 apiece.

In six months, Zomato shares emerged as a multibagger as it has given over 102% returns to its shareholders.