A few months after Zomato’s blockbuster IPO smashed its way into the record books and became a legendary tale in the making, the food delivery aggregator has made the decision to shut down its subsidiaries in Singapore and the United Kingdom.
That’s right, the food delivery giant has officially filed with the BSE (Bombay Stock Exchange) and the NSE (National Stock Exchange) for the dissolution of two of its subsidiaries. The closure of Singapore-based Zomato Media Private Limited (ZMPL) and UK-based Zomato UK Limited (ZUL) comes a month after Zomato had filed for the closure of Zomato US, its subsidiary in the United States, and sold its stake in NexTable for $100,000 three weeks ago.
The company said that this decision was made as part of its “cleaning up” drive.
The closure of two of its subsidiaries in foreign countries would not be affecting Zomato’s revenue or turnover since they have not had active business operations in quite some time and therefore have not contributed to its business in any way. Zomato had initiated the process of closing the subsidiaries on August 31.
The 13-year-old Zomato has emerged as one of the leading names in the food delivery sector in India alongside Swiggy. Founded by Deepinder Goyal, Pankaj Chaddah, and Gunjan Patidar, it has 16 active subsidiaries including UberEATS India, and its business has gained traction with time and become a household name in the process. It has even ventured into the payments sector with its latest subsidiary – Zomato Payments Private Limited – to provide payment services to its customers.
In the regulatory filing, Zomato revealed that it had disclosed in its DRHP that ZMPL and ZUL did not have active business operations and had not contributed to Zomato’s net worth and revenue in the last financial year. While ZMPL’s net worth was ₹0.65 million, ZUL’s net worth was ₹1.64 million.
