Alipay Tops Up Zomato’s Cart with $210 Million
The startup signed a pact to undertake a primary fund raise from Alipay Singapore Holdings Pte Ltd., according to a filing.
Online restaurant guide and food ordering startup Zomato is raising $210 million (around Rs 1,500 crore) from the payment affiliate of Chinese e-commerce giant Alibaba, Alipay.
The food-tech company signed a definitive pact to undertake a primary fund raise of $210 million from Alipay Singapore Holdings Pte Ltd., according to a stock exchange filing by its holding company, Info Edge (India) Ltd., on Friday.
Info Edge said that after the deal, its stake in Zomato will reduce to 27.68 percent from 30.91 percent as of March 2018.
This is also the second fundraise by Zomato—which is embroiled in a four-way battle with Swiggy, Uber Eats and Foodpanda for market domination—this year. In February, it raised $200 million from Alipay, in a round that valued Zomato at over $1 billion.
Founded in 2008, the Gurugram-based startup was able to reduce its losses to Rs 106 crore in the year ended March 2018 from Rs 390 crore in the year ended March 2017, according to filings made with the Registrar of the Companies. Its revenues for the corresponding fiscals were Rs 466.36 crore and Rs 332.27 crore, respectively.
Zomato claimed in September it had hit a monthly order run rate of 21 million in India.