The shares of Zomato fell as much as 2.6 percent at Rs 40.55 on Wednesday hitting another fresh 52-week low for the third consecutive session, as a result of sell-off pressure. Shares of the food delivery platform, however, recovered at the fag end of the session. The stock closed 5.64 percent higher on the BSE.

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The company, on Tuesday said in an exchange filing, that it is allotting 4.66 crore shares to its employees from its employee stock option plan (ESOP) at one rupee per share.

The company said on July 26 that the nomination and remuneration committee of its board of directors has approved the allotment of 4,65,51,600 equity shares to employees upon exercise of vested stock options.

At current share prices, the entire allocation is worth about Rs 200 crore. Zomato shares were trading at Rs 43 per share at the time of writing.

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The one-year lock-in period for pre-IPO shareholders ended on July 23. According to the norms, the equity share capital held by a company — that does not have promoters — is locked for a period of one year from the date of allotment of shares. This effectively means the shareholders cannot sell any equity during the stated period.

The shares have been under pressure lately, post the Blinkit deal in which the company's board approved the acquisition of the startup for Rs 4,447 crore in an all-stock deal.

The food delivery company was listed on BSE and NSE on July 23, 2021, at a strong premium of over 51 percent.

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First Published:Jul 27, 2022 3:12 PM IST