In 2015, Zomato acquired the US-based restaurant reservations and table management platform for cash and stock. Among its competitors was OpenTable and Yelp’s SeatMe.
On August 11, Zomato announced it had sold its stake in step-down subsidiary Nextable Inc for $1,000,000.
“Due to the small overall size of the table reservation and management business in the United States, the company has decided to divest and terminate this business,” the company stated in a stock exchange filing.
Zomato disclosed in its red herring prospectus that it was in the process of selling its entire shareholding in Nextable.
As of March 31, 2021, Nextable had a turnover of Rs 6.65 crore and a net worth of Rs 1.53 crore.
Additionally, it contributed 0.33 percent to Zomato’s consolidated turnover and 0.02 percent to its relative net worth.
In 2015, Zomato acquired the US-based restaurant reservations and table management platform for cash and stock. The company competed with the likes of OpenTable and Yelp’s SeatMe.
As a result, dining in has not gathered pace as order delivery has been post-pandemic across the globe.
It also reported a net loss of Rs 356 crore during the quarter ended June 30, 2021, against Rs 99.8 crore during the same period during the previous financial year.
During the quarter under review, the company earned a total of Rs 916 crore. There was a massive increase from the Rs 283.5 crore it reported a year ago.
Despite the severe COVID wave in April, its revenue growth was driven mainly by its core food delivery business.
COVID, on the other hand, significantly impacted dining-out during the quarter, reversing most of the industry’s gains during the quarter.
