Uber Applied sciences Inc., primarily generally known as one of many main cab aggregators, has agreed to promote its meals supply service Uber Eats to rival Zomato.
In an e mail despatched out to its customers, Uber Eats states, “We have now introduced in the present day that Zomato has acquired Uber Eats in India. As such, you’ll now not be capable to order from Uber Eats in India, however it is possible for you to to take pleasure in your favorite meals with thrilling provides tailor-made for you on Zomato. You may nonetheless get rides by way of the Uber app, which stays lively and obtainable. And you’ll nonetheless use Uber Eats in the event you’re touring outdoors India. Till then, we hope you’ll take pleasure in many extra tasty moments and uncover nice eating places round you on Zomato.”
This assertion confirms that Uber Eats is shutting down operations within the nation totally, though you may nonetheless use the Uber app for cab reserving as standard.
As per ET, Zomato has acquired Uber Eats for round $350 million (Rs 2,485 crore). The report additionally claims that Uber will get about 10% shareholding in Zomato as part of the deal.
The Uber Eats acquisition comes after Zomato’s newest fundraising, the place Ant Monetary pumped in $150 million at a $three billion valuation. Uber went public final yr and had been underperforming, therefore downsizing its loss-making items and geographies.
Uber Eats has been beneath constant financial investigation quickly after its roll-out within the nation, and particularly, after a yr of testing waters. As per regulatory disclosures made in India, Uber’s projected operational loss was Rs 2,197 crore in its meals supply enterprise for the 5 months by way of December 2019.