wordpress blog stats
Connect with us

Hi, what are you looking for?

Zomato to liquidate its subsidiary in Portugal, further shrinking foreign subsidiaries

At the time of its IPO, Zomato had subsidiaries in 22 other countries, apart from Portugal.

On July 21, Zomato stated that it is liquidating its Portugal-based subsidiary, Zomato Media Portugal, Unipessoal Lda (“ZM Portugal”). Zomato had mentioned its foreign holding in its red-herring prospectus back in 2021, but even to this day, this subsidiary didn’t have any active business operations and so, it didn’t contribute to Zomato’s overall turnover.

According to Zomato’s exchange filing, Zomato Portugal had a net worth of Rs. 12 million and contributed 0.01% to the net worth of the company.

Liquidations all around the world:

Besides its Portugal subsidiary, Zomato also had foreign subsidiaries in 22 other countries at the time of its initial public offering. These include Dubai, Indonesia, Portugal, Chile, and Australia to name a few. It is pertinent to note that none of these had active operations. It has since liquidated its subsidiaries in 11 countries, namely, the US, Indonesia, the Philippines, Lebanon, South Africa, the UK, Singapore, New Zealand, Australia, Canada, and Jordan.


Article continues below ⬇, you might also want to read:


Of these, the subsidiaries in three countries that made sales (had a turnover) were—

New Zealand: The company had a turnover of Rs. 3.13 million and a net worth of Rs. 22.32 million. It contributed 0.01% to Zomato’s turnover.

Advertisement. Scroll to continue reading.

Lebanon: It was shut down in December 2021 and constituted 2.38% of Zomato’s overall turnover in the financial year ending 2021.

United States: Zomato first dissolved its stake in the table reservation business in the US, NexTable, by selling its shares in the company for $100,000. It then shut down its subsidiary, Zomato US LLC (which contributed 0.07% to Zomato’s turnover), in August 2021.

Zomato’s multiple liquidations point out that the company is trying to cut down excess costs from its balance sheets and focus its attention on India. Earlier this year, it even pulled out of 225 cities in India to cut down its losses, which further lends credibility to this theory. Zomato’s operations are now limited to India and the UAE.


STAY ON TOP OF TECH NEWS: Our daily newsletter with the top story of the day from MediaNama, delivered to your inbox before 9 AM. Click here to sign up today!


 

Advertisement. Scroll to continue reading.
Written By

Free Reads

News

The service from the tie-up will initally be launched at Bengaluru, Bhubaneswar, Vijayawada and Visakhapatnam railway stations

News

The Minister's response came after an X user posted answers generated by Gemini regarding Prime Minister Narendra Modi.

News

Vaishnaw said that in the next five years, there will be significant disruptions in the way telecom technology operates.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

News

RBI Deputy Governor Rabi Shankar called for self-regulation in the fintech sector, but here's why we disagree with his stance.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ