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Zomato is planning to raise fresh capital by issuing new equity shares through a Qualified Institutions Placement (QIP), it said in an NSE filing.

QIPs are a way for publicly listed companies to raise capital by selling shares exclusively to institutional investors like mutual funds, insurance companies, or banks.

The food delivery unicorn has announced a board meeting on October 22, 2024 to discuss the fundraise. Additionally, the company will release its unaudited financial results for the quarter and half-year ending September 30, 2024.

The plans to raise fresh comes at a time when Zomato’s major rival, Swiggy is preparing for a significant IPO. Swiggy has received SEBI approval to raise approximately Rs 10,414 crore to Rs 11,664 crore ($1.25–1.4 billion).

Its other quick commerce competitor Zepto is reportedly close to securing $100 million in new funding, marking its third investment round in the last six months. According to TechCrunch, the company is talking to Indian family offices and high-net-worth individuals for its next round at a $5 billion post-money valuation.