The shares of the company gained 2.23 percent to close at Rs 208.52 on NSE.
Food and grocery delivery major Zomato has decided to withdraw its application for a non-banking financial company (NBFC) licence, saying it doesn’t wish to pursue the lending business anymore.
The decision to withdraw the application was taken by the board of Zomato Financial Services Limited, a wholly owned subsidiary, the company said in an exchange filing on July 2.
The Zomato stock ended the day at Rs 208.52 on the National Stock Exchange (NSE), up 2.23 percent from the previous close.
The company incorporated Zomato Payment Private Limited in August 2021 to apply for a payment aggregator (PA) authorisation and registered Zomato Financial Services in February 2022 but failed to get its NBFC licence.
The shares of the company gained 2.23 percent to close at Rs 208.52 on NSE.
Food and grocery delivery major Zomato has decided to withdraw its application for a non-banking financial company (NBFC) licence, saying it doesn’t wish to pursue the lending business anymore.
The decision to withdraw the application was taken by the board of Zomato Financial Services Limited, a wholly owned subsidiary, the company said in an exchange filing on July 2.
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“There is no material impact on the revenue/operations of the company and this disclosure is being made voluntarily,” Zomato said.
The Zomato stock ended the day at Rs 208.52 on the National Stock Exchange (NSE), up 2.23 percent from the previous close.
On May 29, Moneycontrol reported that the food delivery company was in talks with several NBFCs to provide working capital loans to its partner restaurants.
The firm had entered the lending business in 2000 to help its partner restaurants during the Covid pandemic to help them stay afloat.
The company incorporated Zomato Payment Private Limited in August 2021 to apply for a payment aggregator (PA) authorisation and registered Zomato Financial Services in February 2022 but failed to get its NBFC licence.
As reported by Moneycontrol, the company surrendered its PA/PG license, and even wrote down Rs 39 crore worth of investments in ZPPL in the March quarter.
