Zomato acquires Uber Eats in all-stock transaction

Food delivery platform Zomato on Tuesday has said that it has acquired Uber’s food delivery business — Uber Eats — in India in an all-stock transaction.

With this, Uber Eats will discontinue operations in India. It will direct restaurants, delivery partners, and users of the Uber Eats apps to the Zomato platform, effective from 7 am on Tuesday. However, the deal gives Uber 9.99 per cent ownership in Zomato.

“We are proud to have pioneered restaurant discovery and to have created a leading food delivery business across more than 500 cities in India. This acquisition significantly strengthens our position in the category,” Deepinder Goyal, Chief Executive Officer (CEO) of Zomato said.