zomato IPO: Zomato is dressing up for its big IPO. Can its f

zomato IPO: Zomato is dressing up for its big IPO. Can its flywheel spin like Amazon and Meituan after listing?



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Zomato delivery boys move through water logged streets in Gurugram on the outskirts of New Delhi, India on 31 May 2020.
Synopsis
Investors have a difficult choice to make, deciding on whether they should invest in Zomato, a food-delivery business that involves high cash burn and logistics costs. Zomato, on the other hand, has cut down its cash burn drastically of late. Is this reason enough to subscribe? And what happens after listing?
“I don't underestimate them. But I also don't fear them,” said a rather unperturbed Deepinder Goyal, chief executive officer of Zomato, in an interaction with ET in March, when asked about Amazon throwing its hat in the food-delivery business in some areas of Bengaluru. For Amazon, the behemoth with cash to spare, the Bengaluru experiment could just be one of its many efforts to unlock more value and maybe forget about it later if it fails. For

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