Zomato shares fell 6.6% to INR 65.85 on the NSE on Monday (June 27) after the company announced the acquisition of quick commerce startup Blinkit on Friday after market hours.
While the transaction adds long-term value to Zomato, many investors are concerned that it will add another loss-making company to its portfolio. Following a significant decline at the beginning of May, Zomato shares have been rising but volatile in recent days. It gained 8.5% in four sessions since June 20, closing at INR 70.5 on Friday (June 24). JM Financial, on the other hand, stated that the acquisition will broaden the scope of Zomato's hyperlocal delivery services beyond food delivery, as well as highlight the management's broader ambitions.