Deliberations are ongoing and details of the offering such as size and timeline could change, the people said. A representative for Zomato didn’t immediately respond to requests for comment.
Last month, Zomato has raised an additional $250 million from existing and new investors.It completed the primary pre-IPO fundraise at a total valuation of $5.4 billion, a sharp rise from the $3.9 billion in December.
The funds have been raised by Kora Management LP, which led the round, infusing close to $115 million, along with Fidelity Management and Research, which infused $55 million and Tiger Global Management, which put in $50 million. New investors Bow Wave Capital and Dragoneer Investment Group also invested close to $20 million and $10 million in the company, respectively.
After this round, Zomato’s early investor Info Edge’s stake in the startup stands at 18.4%. Info Edge also owns a stake in insurance aggregator PolicyBazaar, which is also finalizing investment bankers to prepare for a potential IPO.
The latest fund infusion in Zomato is in addition to the $660 million primary fundraise undertaken by the firm last year from 10 new investors, including Baillie Gifford, Luxor Capital, Steadview, D1 Capital and Mirae Asset.
In the past year, the startup has been on a fundraising spree to bolster its cash reserves as it looks to build a war chest for acquisitions as well as to fight any possible price wars in the future.