Zomato withdraws NBFC application and says it has no plans to get into credit business

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Food and delivery major Zomato has decided not to go ahead with its plans to foray into the lending business. In a BSE filing, the company said that its wholly-owned subsidiary, Zomato Financial Services, has voluntarily withdrawn its application for a non-banking financial company (NBFC) licence with the Reserve Bank of India (RBI).

“The board of directors of ZFSL, a wholly owned subsidiary of Zomato Limited, at its meeting held today, i.e., July 2, 2024, has decided to voluntarily withdraw the application dated April 29, 2022, submitted with the Reserve Bank of India (“RBI”) for getting certificate of registration for undertaking the business of a non-banking financial company (Type II NBFC-ND), as we do not wish to pursue the lending/ credit business anymore,” the company stated in its BSE filing.

It added that this decision has no “material impact”on the revenue or operations of the company, and this disclosure is being made voluntarily.