India-based food delivery startup Zomato has raised USD 160 million from US hedge fund Tiger Global Management and a unit of Singapore’s Temasek Holdings.
According to TechCrunch, Info Edge, a major investor in Zomato, confirmed the development, and stated that the new round valued Zomato at USD 3.3 billion post-money.
The investment positions the company alongside its competitors, Prosus Ventures-backed Swiggy and Amazon, which has also emerged in the market, though it is currently servicing food delivery in only select suburbs of Bangalore. Furthermore, the company plans to file for an initial public offering (IPO) in the first half of 2021.
Overall, although Zomato was losing more than USD 50 million a month to sustain customers by offering heavy discounts until mid-2019, the company showed major economic improvements in its business recently – for instance, the acquisition of the Indian food delivery business of Uber in early 2020.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now