Nov 29 (Reuters) -
Global money managers and banks ranging from Vanguard to Goldman Sachs as well as the Singapore government rushed to grab a slice of Zomato after Chinese payments group Alipay offloaded its entire 3.44% stake in the Indian food delivery platform.
Earlier on Wednesday, Alipay launched a $400 million stake sale in Zomato through block deals, hours after
exclusively reported the plan.
About 296 million shares of Zomato were sold by the Chinese company for 112.7 rupees ($1.35) each. Fund manager Fidelity, investment bank Morgan Stanley and sovereign wealth fund Abu Dhabi Investment Authority were among those that bought a sizable portion of the company's shares, exchange data showed.
Shares of Zomato have nearly doubled this year as the company started to turn a profit after going public in 2021, prompting some of its biggest investors to lock in gains on their investments.
The stock closed up 2.5% at 116 rupees, nearly on par with the listing price during its market debut. It had traded as low as 40.6 rupees in July 2022.
In October, Japan's SoftBank sold a 1.1% stake in Zomato, which is India's biggest food delivery service.
Alipay's exit from Zomato also comes at a time when Chinese investors have been cutting their stakes in Indian companies.
In August, China's Antfin sold a 10.3% stake in Indian financial giant Paytm to its founder and Chief Executive Vijay Shekhar Sharma.
($1 = 83.3269 Indian rupees) (Reporting by Indranil Sarkar, Kashish Tandon and Baranjot Kaur in Bengaluru; Editing by Anil D'Silva)