Info Edge Invests $10 mn in Online Restaurant Directory Zomato, Acquires Majority Stake
Info Edge (India) Limited, the company which runs major portals like Naukri.com has invested an additional $10 mn in online food guide and restaurant directory Zomato.
“While Info Edge has transitioned to a majority shareholding this will not transform the operating relationship between the investors and the founders who will continue to enjoy the same operating independence as earlier,” the company said.
Zomato, launched four years ago operates in five countries including India, United Kingom and Qatar and has plans to expand further.
Their site and mobile app provides information such as restaurant menus, contact details, pictures, ratings and reviews for over 75,000 restaurants. Zomato claims over a million downloads for its mobile apps and that its India operations broke even at the Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) level in December 2012.
“More than 1500 restaurants in India have paid Zomato in the current financial year. Renewal rates are in excess of 80%, the company added. Zomato competes with US based Yelp, which has a market cap of more than $1.3 bn.
The company has plans to enter Philippines and South Africa in the next few months.
Deepinder Goyal, Founder & CEO of Zomato said, “We plan to use these additional funds for product development, scaling up our sales team in various locations, and further international expansion.”
Meanwhile, Zomato’s larger rival Yelp, is said to be launching in India soon.
Sales isn’t just sexy, its smokin’ hot (by Zomato team).http://www.nextbigwhat.com/zomato-funding-297/Deal Flow,FoodTech,funding,zomato