Zomato shares gain 4% post-block deal; China's Alipay likely seller

Established in 2004 by Alibaba Group and its founder Jack Ma, Alipay is a third-party mobile and online payment interface that aims to amass US$ 395 million.

As per reports, China's Alipay was expected to sell shares at Rs 112.8 per share in the company.

Shares of food services aggregator Zomato gained up to 3.69 per cent in the early deals on Wednesday (November 29) to Rs 118 apiece after 29.75 crore equity shares, equating to 3.4 per cent stake, changed hands in a l block deal.

As per reports, China's Alipay was expected to sell shares at Rs 112.8 per share in the company. This is at a discount of 2.2 per cent from the previous close. As per the BSE data, Alipay Singapore Holding Pte held 29,60,73,993 equity shares or 3.44 per cent equity as on September quarter end.

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Established in 2004 by Alibaba Group and its founder Jack Ma, Alipay is a third-party mobile and online payment interface that aims to amass US$ 395 million, or Rs 3,290 crore via this block deal, reports suggest.

For the selling shareholder, there will be a 90-day lock-in period post-the deal.

Earlier in October, Softbank pared 1.1 per cent stake in the food-tech giant

Among the new-age start-up companies that made their debut on the bourses in the recent past, Zomato is the only stock trading at a price higher than the issue price of Rs 76. On a year-to-date basis, the stock's gains are a whopping 99 per cent.

Morgan Stanley after conducting an Alphawise survey on the counter gave the target of Rs 140, implying 19 per cent upside from today's highest price. The brokerage through the survey inferred that the company's TAM or total addressable market has been cutting across categories.

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