Food delivery platform Zomato has taken a significant step in streamlining its international operations by initiating the liquidation process for its businesses in Vietnam and Poland.
The announcement, made through a regulatory filing on the Bombay Stock Exchange (BSE) on Thursday, confirmed the dissolution of Zomato Vietnam Company Limited (ZVCL) and Gastronauci, its Vietnamese and Polish subsidiaries, respectively.
In the regulatory filing, Zomato clarified that ZVCL, in particular, is not considered a material subsidiary of the company. As a result, the liquidation of ZVCL is anticipated to have no substantive impact on Zomato’s overall turnover or revenue. This move follows a similar decision made earlier in the week, where Zomato commenced the liquidation process for Gastronauci in Poland, starting from 2 December.
According to the company’s statement, both ZVCL and Gastronauci, currently undergoing liquidation, are not actively involved in any business operations. Zomato emphasised that the closure of these step-down subsidiaries will not disrupt its broader operational landscape.
The liquidation process for both subsidiaries is expected to conclude within the next four to six months, contingent upon regulatory approvals. Zomato had previously shuttered several international subsidiaries, including those in Singapore, the United Kingdom, the United States, and South Africa.
Despite these international closures, Zomato remains resilient on the home front, having reported a noteworthy second consecutive quarterly net profit of Rs 36 crore for the quarter ending September. Operating revenue for the same period reached Rs 2,848 crore.
