Zomato shares fall over 11 pc; hit record low

During the day, it tumbled 14.25 per cent to its all-time low of Rs 46.On the NSE, shares of the company ended at Rs 47.60 apiece, lower by 11.27 per cent.Zomato has witnessed a significant underperformance since its listing and has fallen a whopping 71 per cent from its all-time high price.

Shares of online food delivery platform Zomato on Monday tumbled over 11 per cent and hit its all-time low in intra-day trade.

Zomato Ltd fell to its all-time low on Monday post the ending of the mandatory pre-IPO (Initial Public Offering) shareholders lock-in period on July 23, said Punit Patni, Equity Research Analyst at Swastika Investmart Ltd.

''It is generally seen that events like these lead to a glut of supply of shares in the equity markets thus creating pressure on its market price,'' he added.

The stock tanked 11.37 per cent to settle at Rs 47.55 apiece on the BSE. During the day, it tumbled 14.25 per cent to its all-time low of Rs 46.

On the NSE, shares of the company ended at Rs 47.60 apiece, lower by 11.27 per cent.

''Zomato has witnessed a significant underperformance since its listing and has fallen a whopping 71 per cent from its all-time high price. The company has been shunned by investors post the beginning of the rate hike cycle by the central banks globally and huge sell-off in the tech sector,'' Patni added.

In the equity market, the 30-share BSE benchmark fell 306.01 points or 0.55 per cent to settle at 55,766.22.

''Today Zomato share price touched an all-time low of Rs 46. Shares of the company got listed on July 23, 2021, so today is the end of one-year lock-in period for the shareholders,'' Rajnath Yadav, Research Analyst at Choice Broking, said.

Zomato touched new low on Monday as the lock-in period for investors who owned the stake in the company before its IPO ended, Mohit Nigam, Head - PMS, Hem Securities, said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)