From Unicorn to Cockroach- Zomato Valuation Goes Half
Not getting over Fund crunch cyclone in Indian startup ecosystem, it seems one more cyclone is going to hit Indian startups called as "valuation cut-off". After India's leading e-commerce company Flipkart valuation cut-off, the cyclone is hitting one more Indian startup "Zomato".
The brokerage arm of HSBC's bank, HSBC Securities and Capital Markets has slashed the valuation of Zomato by half from $1 billion to $500 million. However, Info Edge which currently owns a 50.1% stake in the company disagreed with HSBC's estimate.
In the note, which raised concerns around Zomato's ad-heavy business model, international operations and growing competition in the online food ordering segment, according to a report by Mint.
What matters is that your business has strong fundamentals, positiv...