16 hours ago
MOFSL clarified that the acquisition is not a related party transaction and has been executed at arm’s length. However, the promoter and promoter group of MOFSL are existing shareholders in Zepto, holding 48,720 CCPS of various series. Shares of Motilal Oswal Financial Services Ltd ended at ₹910.75, down by ₹7.40, or 0.81%, on the BSE.
Motilal Oswal Financial Services Limited (MOFSL) on Tuesday (August 12) said it has acquired 7.54 crore compulsorily convertible preference shares (CCPS) of Zepto Private Limited, formerly known as Kiranakart Technologies Private Limited, for ₹400 crore.
Zepto, founded in 2021 by Aadit Palicha and Kaivalya Vohra, is a leading Indian quick commerce platform known for its 10-minute grocery delivery service. The company operates across multiple Indian cities, offering a range of products, including fresh produce and daily essentials. In FY24, Zepto reported a turnover of ₹4,454.52 crore, up from ₹2,024.40 crore in FY23 and ₹140.70 crore in FY22.
MOFSL clarified that the acquisition is not a related party transaction and has been executed at arm’s length. However, the promoter and promoter group of MOFSL are existing shareholders in Zepto, holding 48,720 CCPS of various series.
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The acquisition, part of MOFSL’s treasury investment book, aims to generate sustainable long-term returns. The transaction is expected to be completed within 15 days.
First Quarter Results
Revenue for the quarter increased by 18% from last year to ₹2,737 crore from ₹2,314 crore last year. Net profit for the period increased by 32% on a year-on-year basis to ₹1,162 crore.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter saw a jump of over 6x from last quarter to ₹719.5 crore, while margins expanded to 62.82% from 23.5% in March.
Motilal Oswal's Assets Under Management (AUM) for the AMC business increased by 64% from the year-ago quarter to ₹1.6 lakh crore. Assets Under Management for the SIP segment also increased by 78% on a year-on-year basis to ₹26,051 crore.
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Shares of Motilal Oswal Financial Services Ltd ended at ₹910.75, down by ₹7.40, or 0.81%, on the BSE.
