Ride-hailing platform Uber, which suffered around US$707mn (million) loss in its Zomato investment in the first half of this year, on Wednesday sold its 7.8% stake worth over US$390mn in the Deepinder Goyal-run company.

Uber Technologies sold its shares in the food delivery aggregator via a block deal on stock exchanges that has been bought by several global and Indian venture capitalists (VCs), according to sources close to the development of the matter.

According to them, the block deal move will actually ensure more 'long-term' and stable investment from top VC firms in the company.

The Zomato block deal was executed at Rs50.44 per share equivalent to 612 million or 7.8% of total outstanding shares.

Zomato stock closed around Rs55 on Wednesday, before falling nearly 10% in the early morning trade, and then recovering fast during the day.

Both Zomato or Uber were yet to issue an official statement on the development.

Uber on Tuesday revealed that it lost about US$245mn in its Zomato investment in the second quarter (Q2) this year.

In the first six months this year, the total loss was around US$707mn, said the company during its second quarter (Q2) earnings.

Uber had sold its food delivery business Uber Eats in 2020 in an all-stock transaction to Zomato for a 9.99% stake in the online food delivery platform, and took 7.78% in online food aggregator.

Zomato shares have lost over 60% of its value this year.

The company reported Rs185.7 crore in consolidated loss for the quarter ending 30th June, compared to a loss of Rs359.7 crore in the previous quarter.

The consolidated revenue saw 67% increase at Rs1,413.9 crore from Rs844.4 crore (same quarter last year), and 16.68% up from Rs1,211.8 crore in the last reported quarter.

According to the company, the losses for Blinkit are coming down every month—from Rs2,040 million (about $26 million) in January 2022 to Rs929 million ($12 million) in July.