Zomato's Blinkit, Hyperpure auditor resigns, Company appoints Deloitte

Food delivery giant Zomato recently announced the resignation of the statutory auditor for two of its wholly-owned subsidiaries, Zomato Hyperpure Pvt. Ltd. and Blink Commerce Pvt. Ltd.

The resignation of Batliboi & Associates, which is effective May 12, 2024, marks a significant transition, with Deloitte Haskins & Sells LLP poised to take over the auditing responsibilities.

Aiming to make the audit process more efficient

The company said the change is aimed at making the audit process more efficient.

"The reason for resignation is to allow for the appointment of the current statutory auditor of the Company, M/s Deloitte Haskins & Sells LLP (Firm Regn. No. 015125N), as the statutory auditor of ZHPL and BCPL as well, in order to make the audit process more efficient," Zomato said in an exchange filing.

The change is expected to bring a more synchronized audit process that aligns closely with the company’s overall management strategy and financial planning.

Batliboi & Associates tenders resignation

Batliboi & Associates was appointed as the statutory auditor of Zomato Hyperpure for a term of five consecutive years from the conclusion of the company's eighth annual general meeting, held on August 29, 2023.

The firm has completed the audit of the financial statements of Hyperpure for the year ended March 31, 2024 through an audit report dated May 10, 2024.

It was appointed as the statutory auditor of Blink Commerce for a term of four consecutive years from the conclusion of the company's sixth manual general meeting, held on November 30, 2021.

Batliboi & Associates has completed the audit for the year ended March 31, 2024, and issued a report on May 09, 2024.

In a letter to Zomato Hyperpure and Blink Commerce, Batliboi & Associates said, "Further to our various discussions and email dated May 08, 2024, from the Global Controller Finance, Zomato Limited, we understand that the Holding Company's Management wants to align the statutory auditor of the Company with the auditors of the Holding Company, responsible for audit of consol accounts to avoid some duplication and bring some efficiencies in the audit process at group level. Accordingly, we hereby tender our resignation as the statutory auditors of the Company and request you to treat this as our letter of resignation with immediate effect. We have also discussed this matter with the Management of the Company."

Impact on Zomato’s business and operations

Zomato operates various business segments, including Hyperpure, a B2B platform that supplies kitchen essentials and manages the end-to-end supply chain for hotels and restaurants, and Blinkit, known for its quick commerce services.

The auditor change coincides with Zomato's ongoing efforts to enhance operational efficiencies across these diverse business units.

Notably, the company has recently adjusted its business strategies, such as increasing the mandatory platform fee per order and suspending the intercity food delivery service known as Legends.