India is home to numerous billionaires, many of whom have transformed startups into major brands. One standout figure in this landscape is Deepinder Goyal, co-founder and CEO of Zomato, a leading food delivery service. Recently, Goyal joined the elite billionaire club as Zomato’s market capitalization surpassed the USD 2 trillion mark.
Rising Wealth and Market Milestones
As of July 15, Deepinder Goyal’s net worth stands at approximately USD 1.4 billion, or Rs 11,700 crore, reflecting a growth of about USD 33 million this year. He holds a 4.24% stake in Zomato, owning 36.95 crore shares. On July 15, Zomato’s shares reached an all-time high of Rs 232 on the National Stock Exchange, closing at Rs 229.25.
Educational Background and Founding of Zomato
Deepinder Goyal, an IIT Delhi graduate, co-founded Zomato in 2008 initially as Foodiebay, alongside Pankaj Chaddah. The platform was rebranded to Zomato in 2010 and achieved unicorn status in 2018-19. Following Pankaj Chaddah’s exit in the same year, Zomato launched its IPO in 2021, which was oversubscribed 35 times and valued the company at USD 12 billion. In 2022, Zomato expanded by acquiring the quick commerce platform Blinkit.
Recent Developments in the Platform
Recently, Zomato increased its platform fee from Rs 5 to Rs 6 per order in major cities like Delhi, Mumbai, and Bengaluru, following a similar move by rival Swiggy. This adjustment reflects ongoing competition in the food delivery market.
Stock performance and Market capitalization
Deepinder Goyal’s elevation to billionaire status is attributed to Zomato’s impressive stock performance, which has surged over 300% from a low of Rs 73 in July 2023. On the Bombay Stock Exchange, Zomato’s stock hit a peak of Rs 230, pushing its market capitalization beyond Rs 1.8 trillion.
In a remarkable week, Zomato’s stock outperformed the market, rising by 12% compared to a 1% increase in the benchmark index. This growth has elevated Goyal’s net worth to over Rs 8,300 crore.
Blinkit’s Impact on Growth
A significant driver of Zomato’s stock rise is the promising performance of Blinkit, its quick commerce division. Blinkit is expected to achieve EBITDA break-even by the first quarter of FY25, bolstering investor confidence. The division has shown rapid growth, surpassing competitors and leading Zomato to increase its investment in Blinkit as it aims for long-term dominance in the market.
Goldman Sachs recently valued Blinkit at $13 billion, indicating its increasing importance within Zomato’s portfolio.
Deepinder Goyal’s Journey to Success
Deepinder Goyal’s ascent to billionaire status began with his graduation in Mathematics and Computing from IIT Delhi. His passion for food led him to co-found FoodieBay.com while working at Bain & Company. With initial funding from Info Edge in 2011, Goyal and his team focused on growing Zomato, ultimately achieving unicorn status in 2018.
Deepinder Goyal’s journey from a middle-class background to a billionaire CEO exemplifies the power of innovation and perseverance in the startup ecosystem. Under his leadership, Zomato continues to thrive, reshaping the food delivery landscape in India and beyond.
