Uber All Set To Sell Its 7.8% Share In Zomato

Uber is poised to sell its 7.8% share in the online food delivery service Zomato, which may be valued as much as Rs 2,938 crore ($373 million).

The price range for the offer is anticipated with a price range of Rs 48-54 per share, equivalent to 612 million or 7.8 per cent of total outstanding shares, according to sources on Tuesday. The transaction will begin on Wednesday, with August 5 as the anticipated settlement date. The deal's only bookrunner is BofA Securities.

Although the term sheet did not identify the seller, sources informed that Uber was selling its whole 7.8% interest as part of the bulk transaction. According to additional reports, a number of institutional investors with US addresses are already competing to buy the shares.

The one-year lock-in period for Zomato pre-IPO shareholders concluded on June 23. The block deal also takes place one week after that date. It would be the first time a pre-IPO investment in Uber had left the business.The unloading also follows Zomato's stated goal of achieving Ebitda breakeven as a company by the end of FY23 or by the second quarter of FY24. The food-tech startup platform, which is now a unicorn, is also changing the name of the parent business to "Eternal" and restructuring its management to adopt a multiple CEO structure.

Over 60% of the value of the stock has been lost this year. Compared to a loss of Rs 359.7 crore the quarter prior, Zomato recorded a consolidated loss of Rs 185.7 crore for the quarter ending June 30.