Fidelity International acquired 5% stake in Zomato, sending the stock up more than 4%

Zomato shares raised more than 4% on the BSE on Tuesday, closing at INR 64.65 per share. Meanwhile, Fidelity International, a financial services firm, informed stock exchanges that it had acquired a 5% stake in the foodtech behemoth through open market transactions.

According to the filing, funds managed by Fidelity’s FMR LLC and its direct and indirect subsidiaries, as well as FIL Ltd and its direct and indirect subsidiaries, purchased over 40 Cr shares, or 5.06% stake, in Zomato on the open market on August 18. This is good news for the food aggregator because its shares have been under pressure in the last month, with big names like Uber, Moore, and Tiger Global exiting the company after the lock-in period for its pre-IPO investors expired.