Zomato's acquisition of Paytm's entertainment business has cast a shadow over Global Private equity major KKR's planned investment in BookMyShow (BMS). This is as per the Economic Times.
BookMyShow operating revenue grew more than threefold to Rs 976 crore in the year that ended on March 31, from Rs 277 crore in FY22
Zomato's acquisition of Paytm's entertainment business has cast a shadow over Global Private equity major KKR's planned investment in BookMyShow (BMS). This is as per the Economic Times.
KKR is presumed to be renegotiating with BMS, India's biggest online ticket-booking platform, over the size of its deal and valuation, as per sources who told ET.
Earlier, KKR had reportedly planned to invest about $250-300 million in Reliance Industries-backed BookMyShow for a minority stake acquisition. The value of BMS then was estimated to be around Rs 7,500 crore.
Recently, Zomato finalised the acquisition o of Paytm's event ticketing subsidiaries Wasteland Entertainment Private Limited (WEPL) and Orbgen Technologies Private Limited (OTPL).
The sum of the acquisition cost is reportedly Rs 2,048 crore. The acquisition cost of OTPL is estimated to be Rs 1,264.6 crore, while for WEPL, it is Rs 783.8 crore.
Zomato's foraying into the entertainment industry is said to have an impact on the revenue of BookMyShow, which enjoys a near monopoly with a 75 per cent market share.
Zomato with its quick commerce vertical is also planning to increase its presence in the going-out vertical. Deepinder Goyal has reportedly said that the gross order value of its going-out vertical is set to grow more than threefold to over Rs 10,000 crore by FY26.
However, BookMyShow, which reportedly posted nearly a profitable sum of Rs 1,000 crore in fiscal 2023 revenue, will try to protect its market share using its upper hand with suppliers and other stakeholders.
It will also capitalise on exclusive contacts with multiplex chains event organisers, sporting bodies, artists and theatre companies among others.
Its operating revenue reportedly grew more than threefold to Rs 976 crore in the year ended on March 31, from Rs 277 crore in FY22.
As per a report by Technavio, the global online movie ticketing service market size is estimated to grow by $8.83 billion from 2024-2028.