The offer had received over Rs 2 lakh crore of bids with qualified institutional buyers bidding for Rs 1.5 lakh crore worth of shares alone, against their reserved portion of Rs 2,955.15 crore.
“Lot of institutional investors in the IPO participation did not get shares given the overwhelming response, which indicated that there was a huge appetite for shares of Zomato and the IPO could not fulfil that demand.
Zomato is the one stop app that provides these customers with details such as photos of the menu, photos of the restaurant premises, address and GPS coordinates, phone number, website, social media presence, cuisine, opening timings, average cost for a meal, free parking availability, indoor or outdoor seating availability, free Wi-Fi availability, whether the restaurant offers live entertainment, has a smoking room, whether table booking is recommended, among others,” said Meet Jain of LKP Research.
Zomato preponed its listing by two days to July 23 instead of July 27.
Info Edge, the early and key investor of Zomato, retaining the majority of its stake in the food delivery giant is also one of the major reasons for boosting confidence among investors.
“A lot of people shorted Zomato ahead of listing in the grey market, which they must have covered it in the secondary market.