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Zomato explains why it didn't inform about co-founder Gaurav Gupta's resignation to exchanges

Zomato explains why it didn't inform about co-founder Gaurav Gupta's resignation to exchanges

Zomato said Gupta was not designated as a key managerial personnel under the Companies Act, 2013 and the Listing Regulations and his exit from the company does not warrant any disclosure.

Gupta joined Zomato in 2015 and was subsequently designated as one of the co-founders in 2019 and Head of Supply in 2021. Gupta joined Zomato in 2015 and was subsequently designated as one of the co-founders in 2019 and Head of Supply in 2021.

Foodtech firm Zomato on Saturday said it didn't inform the stock exchanges about the resignation of its co-founder Gaurav Gupta as he was not designated as a key managerial personnel and his exit from the company didn't warrant any disclosure under the relevant regulations.

The BSE had sought a clarification from the company on news reports saying that Gupta had resigned from the company.

Replying on the matter, Zomato in a BSE filing said, "...the company upholds and intends to maintain high standards of corporate governance, has complied with the SEBI (Listing Obligations and Disclosure Requirements), Regulations 2015 ("Listing Regulations") in letter and spirit."

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Zomato said Gupta was not designated as a key managerial personnel under the Companies Act, 2013 and the Listing Regulations. Gupta, it said, joined the company in 2015 and was subsequently designated as one of the co-founders in 2019 and Head of Supply in 2021.

"However, he was neither a promoter nor was holding any equity shares in the company. Therefore, his exit from the company does not warrant any disclosure under the Listing Regulations," the recently-listed company said.

Zomato said there is no pending information or announcement from the company which may have a bearing on the price/ volume behavior in the scrip and all material infonnation has been disclosed by it within the stipulated timelines.

Earlier this week, Gupta had quit Zomato. Thanking Gupta for his contribution, the company's founder and CEO Deepinder Goyal wrote in a tweet, "Thank you @grvgpta - the last 6 years have been amazing and we have come very far. There's so much of our journey still ahead of us, and I am thankful that we have a great team and leadership to carry us forward."

Also Read: From head of table reservations to co-founder: A look at Gaurav Gupta's time at Zomato