Local food-delivery app Zomato has purchased Uber Eats in India.
“We are proud to have pioneered restaurant discovery and to have created a leading food-delivery business across more than 500 cities in India,” said Zomato CEO Deepinder Goyal. “This acquisition significantly strengthens our position in the category.”
The purchase was made via an all-stock transaction, which awards Uber 9.99 percent ownership of Zomato.
“India remains an exceptionally important market to Uber and we will continue to invest in growing our local Uber Rides business, which is already the clear category leader,” said Uber CEO Dara Khosrowshahi. “We have been very impressed by Zomato’s ability to grow rapidly in a capital-efficient manner and we wish them continued success.”
Uber Eats in India has discontinued operations and is now directing restaurants, delivery partners, and users of the Uber Eats apps to the Zomato platform.