Goldman Sachs, one of the world’s leading investment banks, has recently released a report that has sent shockwaves through the Indian food delivery industry. According to the report, Zomato’s quick commerce arm, Blinkit, is now more valuable than its core food delivery business. This revelation has caused quite a stir in the market, with many investors and analysts taking notice of this significant shift in value.
The investment bank’s report, which was released on Thursday, states that Blinkit’s implied value is estimated at 119 Indian rupees per share, which translates to approximately $1.43. This puts the value of Blinkit at a staggering $13 billion, surpassing the value of Zomato’s food delivery business. This news has come as a surprise to many, as Zomato’s food delivery business has been the company’s primary focus and source of revenue.
Blinkit, which was launched in 2020, is Zomato’s quick commerce arm that focuses on delivering groceries and household essentials to customers within 15 minutes. This service has gained immense popularity in India, especially during the pandemic, as people have turned to online shopping for their daily needs. With Blinkit’s efficient and speedy delivery, it has quickly become a favorite among customers, leading to its rapid growth and increased value.
Goldman Sachs’ report has shed light on the potential of Blinkit and its impact on Zomato’s overall value. The investment bank’s sum-of-the-parts analysis has revealed that Blinkit’s value is now higher than Zomato’s food delivery business, which has been the company’s primary focus for years. This shift in value is a testament to Blinkit’s success and its potential to become a major player in the Indian e-commerce market.
Zomato, which was founded in 2008, has become a household name in India, with its food delivery service being the go-to option for millions of people. The company’s success has been driven by its innovative approach and its ability to adapt to changing market trends. With the launch of Blinkit, Zomato has once again proven its ability to stay ahead of the curve and cater to the evolving needs of its customers.
The news of Blinkit’s increased value has been met with enthusiasm and excitement from investors and analysts. Many see this as a significant milestone for Zomato and a clear indication of the company’s potential for growth. With Blinkit’s value surpassing its food delivery business, Zomato has diversified its revenue streams, making it a more attractive investment option for potential investors.
In a statement, Zomato’s CEO, Deepinder Goyal, expressed his delight at the news and stated that Blinkit’s success is a testament to the company’s commitment to innovation and customer satisfaction. He also added that the company is constantly looking for ways to improve and expand its services to meet the ever-changing needs of its customers.
The Indian food delivery market has seen tremendous growth in recent years, with the pandemic further accelerating this trend. With the rise of online shopping and the increasing demand for quick and efficient delivery, Blinkit’s success is not surprising. The service has not only provided customers with a convenient and hassle-free shopping experience but has also created employment opportunities for thousands of people.
In conclusion, Goldman Sachs’ report has shed light on the immense potential of Zomato’s quick commerce arm, Blinkit. With its rapid growth and increased value, Blinkit has become a major player in the Indian e-commerce market and has surpassed the value of Zomato’s core food delivery business. This news has not only created a buzz in the market but has also motivated Zomato to continue its innovative approach and cater to the evolving needs of its customers. With Blinkit’s success, Zomato has once again proven its ability to stay ahead of the curve and solidify its position as a leader in the Indian food delivery industry.
