Eternal, the parent company of Zomato, on Wednesday approved the sale of its entire stake in digital advertising platform Adonmo to Vivish Technologies, which operates the Mygate residential community management platform, in exchange for shares in Mygate.
The transaction involves the transfer of 11,214 Series B compulsorily convertible preference shares and 10 equity shares in Adonmo. In return, Eternal will acquire 1,84,091 Series C1 compulsorily convertible preference shares and 164 equity shares in Mygate, valued at around Rs 156 crore.
The transaction is a step towards a proposed merger between Adonmo and Mygate. Following the merger, Eternal will hold an estimated 4.4 per cent stake in the combined entity on a fully diluted basis.
Eternal had invested Rs 112 crore in Adonmo in January 2022. Mygate reported a turnover of Rs 229 crore in FY26, up from Rs 171 crore in FY25 and Rs 96 crore in FY24.
Separately, Eternal approved the transfer of its going-out India business to its wholly owned subsidiary, Zomato Entertainment Private Ltd (ZEPL), for a cash consideration of around Rs 130.76 crore as part of an internal restructuring exercise.
The business, which reported revenue of Rs 587 crore in FY26, accounting for 5.39 per cent of Eternal’s standalone revenue, will be transferred through a slump sale on a going-concern basis. The transaction is expected to be completed within 30 days of the execution of the business transfer agreement.
The company said the restructuring aims to “streamline the group’s corporate structure and achieve operational synergies”.