Shares of Zomato Ltd. gained on Friday after Temasek, an investment fund owned by the government of Singapore, raised its stake in the company.
Through three affiliates, Temasek bought an additional 1.15% stake in Zomato on Nov. 30, according to an exchange filing disclosed today.
This increases Temasek's stake in Zomato to 6.01% from 4.87% earlier.
Several investors, such as Tiger Global, TPG, Lighthouse India, Alibaba, and SoftBank, have sold large stakes in India's fledgling new-age companies, whose stocks have seen downsides of up to 75% since going public last year.
However, marquee investors such as Goldman Sachs, Morgan Stanley, and Temasek have bought stakes as well, at bottomed-out prices.
Shares of Zomato gained as much as 3.38% to Rs 68.9 apiece, before closing 2.85% higher on Friday. The stock is trading 9% below its IPO price and about 55% off its all-time high.
Of the 24 analysts tracking the company, 18 maintain 'buy,' four suggest 'hold,' and two recommend 'sell', according to Bloomberg data. The 12-month consensus price target implies an upside of 26.6%.
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