According to a report by CNBC TV18, Macquarie, the Australian multinational rating and finance agency, had earlier warned investors about food delivery and quick commerce firms.

New Delhi: In the highly competitive food delivery market, Zomato and Swiggy saw a major dip in their shares as quick commerce firm Zepto considers selling a stake to raise USD 250 million ahead of its initial public offering (IPO). On Tuesday, the two companies lost Rs 16,000 crore in investor wealth. According to the reports, Zomato lost Rs 12,500 crore with 6 percent of its share dwindling and closed at Rs 209.81 on the NSE, while Swiggy’s stock witnessed a dip of 4 percent and ended at Rs 337.50.

The news didn’t come as a surprise. According to a report by CNBC TV18, Macquarie, the Australian multinational rating and finance agency, had earlier warned investors about food delivery and quick commerce firms.

It is important to note that the food and quick commerce market witnessed a massive surge recently, as new ventures drive the competition. According to a Bloomberg report, Motilal Oswal Financial Services Ltd. and Edelweiss Financial Services Ltd., through their private equity arms, are in discussions with Zepto, the Bangalore-based startup, regarding its secondary share sale. As the company advances toward its proposed IPO, these discussions aim to strengthen domestic ownership.

Macquarie put on restrictions on food delivery companies and also gave good reviews to fast-food chains like Westlife, which operates McDonald’s in certain parts of India, and Devyani, which manages popular outlets like KFC and Pizza Hut in India.

Comparing the performance of Zomato and Swiggy, both saw a decline of over 2 percent in trading. However, Zomato, led by Deepinder Goyal and the owner of Blinkit and Hyperpure, experienced the larger drop. Its shares fell by 5.29%, or ₹11.79 per share, bringing the overall stock value of the Gurugram-based company to ₹211.01 per share.