Zomato shares fell 6% to Rs 66.50 on Monday’s NSE intraday session after the firm’s board approved the purchase of quick-commerce company Blinkit for Rs 4,447 crore (about $567 million) in an all-stock deal. Zomato will acquire 33,018 equity shares in Blink Commerce Pvt Ltd. (BCPL).

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The purchase, according to Zomato, is in keeping with the company’s objective of investing in the quick commerce segment.

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This transaction will be carried out by the issuing and allocation of up to 628.5 million fully paid-up equity shares of Zomato, each with a face value of Rs 1 and a price of Rs 70.76.

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The deal is likely to be completed in early August. The deal is subject to shareholders and stock exchange approval.

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Zomato was 5.76% down at Rs 66.30 at 12:56 PM, while the Sensex index had increased by 1.21%. On the NSE and BSE, a total of 55 million equity shares have been traded.

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Despite today’s dip, the stock has outperformed the market over the last month, rising 7.9% compared to the BSE Senex index’s 2.78% decline.

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However, Zomato’s stock price has dropped 49% in the last six months, compared to a 7% drop in the benchmark index. It has fallen 61% from its all-time high of Rs 169, set on November 16, 2021.

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Zomato generated Rs 9,375 crore with its initial public offering (IPO) in July of last year, issuing shares at a price of Rs 76 per share. On May 11, 2022, the stock touched a record low of Rs 50.35.