Skip to main content

Ola acquires Foodpanda India from Delivery Hero, to invest $200 million

New Delhi: Ola, operated by ANI Technologies Pvt. Ltd, has acquired online food delivery start-up Foodpanda India from its German parent Delivery Hero AG in an all-stock deal that will see the ride-hailing firm infuse $200 million in Foodpanda India’s operations.
Under the deal, Foodpanda’s India business will be transferred to Ola in exchange for the latter’s stock. The share-swap arrangement and details of the transaction were not disclosed.
The deal marks Ola’s foray into the online food ordering and delivery segment, a business shaped in India by the likes of Zomato and Swiggy, and one where Ola’s biggest rival, Uber Technologies Inc., has been making strides through its unit UberEATS. Ola too tested what it called Ola Cafe in 2014, but shut down the unit shortly after.
The collaboration between Ola and Foodpanda India unlocks the power of a partnership that will help Foodpanda India grow as the most preferred online food delivery service in the country, Ola said in a statement Tuesday.
“Our commitment to invest $200 million in Foodpanda India will help the business be focused on growth by creating value for customers and partners. With Delivery Hero’s global leadership and Ola’s platform capabilities with unique local insights, this partnership is born out of strength,” said Bhavish Aggarwal, co-founder and chief executive at Ola.
The ride-hailing firm also announced the departure of Saurabh Kochhar, who headed Foodpanda India as its CEO until recently. Pranay Jivrajka, a founding partner at Ola, will be the interim CEO of the business unit.
The deal comes months after Bengaluru-based Ola raised $1.1 billion (about Rs7,000 crore) from SoftBank Group and Tencent Holdings to strengthen its position in India.
Another $1 billion is likely to come in soon.
Mobility start-ups with terabytes of data on local routes and consumer app usage patterns are generally believed to be better placed in running a delivery business. In 2014, San Francisco-based Uber launched UberEATS as a pilot project and has since taken the service to 27 countries—and seven Indian cities in quick succession since May this year.
Foodpanda India was set up as the local unit of Berlin-based Foodpanda GmbH, a Rocket Internet portfolio firm, in 2012. The company has had a tough stint in India, given service quality issues, layoffs and ceding of market share to rivals.
Last year, Delivery Hero acquired Foodpanda GmbH but the deal did not have a substantial trickle down impact on India operations, Foodpanda India’s Kochhar had said in an interview with Mint.
With this deal, both Ola and Delivery Hero have hinted at a more collaborative partnership.
“The partnership with Ola will allow us to further consolidate markets where it strategically makes sense to collaborate with leading local players. At the same time, we consider our stake in Ola as a very valuable asset, while Ola’s investment commitment in Foodpanda India is a clear and confident signal to the Indian market,” said Niklas Ă–stberg, chief executive and co-founder of Delivery Hero.

Popular posts from this blog

25 Most Popular Instagram Hashtags For Getting NEW Followers

Are you on Instagram? If not, you're probably the only one left. :) Instagram is ON FIRE! And businesses are now using it to boost traffic and sales. In this post, I've listed 25 of the most popular Instagram hashtags so you can use them to increase your follower count. Using the hashtags listed below will significantly increase your exposure on Instagram. And more exposure means more followers and more engagement!

Most people just wing it when deciding on hashtags, using spur-of-the-moment ideas like #manthisisagreathashtag. :) But nobody is following that hashtag so you can't expect much action from it. It's better to use hashtags that are practically always trending on Instagram. That way users who follow the hashtags may Like & interact with your posts when they see them in the feed. I used a tool called Websta to unearth the most popular hashtags on Instagram -- and I listed those hashtags in this article.

1. #love More than 696 million Instagram posts have th…

Improve your Online Marketing Instantly with these 24 Simple SEO Tools

project for my place, I end up working smartest and fastest when I have the right tools at my disposal. It’s amazing the difference a good tool can make – and the extra time it takes to get work done without a helpful tool. Fast-forward to online marketing. How can you work smarter and faster with SEO?  Whenever I dream up a home improvement It starts with having the right tools. I’ve collected a big sampling of the best free SEO tools on the market—tools with a wide variety of uses and covering a number of common needs. These tools are fast, free, and easy-to-use. I hope you find one or two (or twenty) you can put to good use, today.
24 Free and Easy SEO Tools 1. Google PageSpeed InsightsCheck the speed and usability of your site on multiple devices Enter a URL, and this tool will test the loading time and performance for desktop and for mobile, plus identify opportunities to improve (and pat you on the back for what you’re doing well). The mobile results also come with a user exper…

10 Most Popular Indian YouTubers

Internet rising in India with very high pace and people also searching ways to earn money online everyday but only few ways which  you can start earning without investment of single bucks.    Youtuber is also one of the simplest and most easy ways of earning. If you also want to become youtuber then I recommend to must read our guide How to become youtuber. There are many people who are comedians, musicians, chefs, doctors become millionaire by just choosing YouTuber as career. Here you can see list of top youtubers in India who are not only getting money from youtube but also become Famous personality in India. Top 10 youtubers in IndiaLet’s start with one of my favorite and also favorite of Pakistanis. 1.  Bhuvan Bam – comedian One of the Famous youtuber in India and mainly for his 18+ comedy video. His channel BB ki wines is fastest growing channel . People from india & Pakistan are main viewer of his channel. He is Delhi based 22 year old youtuber and started journey in 2015. As targ…