Zomato Raises $37 mn from Sequoia Capital & Info Edge; Launches in 3 New Countries
Restaurant search service Zomato has raised $37 mn from Sequoia Capital and existing investor Info Edge. With this, the company has raised a total of $53 mn from investors. Earlier, the company had raised $16.5 million from Info Edge over four rounds of funding.
Between these rounds, the
company’s founders now own very little stake in it (Update: Deepinder Goyal, the founder & CEO of Zomato tells us that this isn’t the case. “We still have a significant chunk,” he said but did not disclose details. More on this later). At the end of March 2013, Info Edge held 57% of the company. Zomato clocked operating revenues of Rs 11 cr in FY13.
The company also announced that it has launched its services in- Brazil (Sao Paulo), Turkey (Istanbul, Ankara), and Indonesia (Jakarta).
The Delhi headquartered company founded 5 years ago employs over 600 people across 35 cities in 11 countries. Most of its traffic comes from India & UAE.
The company provides information on over 160,000 restaurants and gets over 15 million visits across its web and mobile platform.
“Traffic has grown by over 300% in the past year,” the company said in a statement which added that its India and UAE operations have broken even at the operational level.
Over the next two years, Zomato, which competes with the likes of Yelp, plans to expand to 22 more countries across Europe, South-East Asia, Australia and the Americas, the company said.
Info Edge seems diluted its stake in Zomato in this round. The company said in a stock exchange filing that it now owns 50.1% on a fully converted and diluted basis.