Zomato bags $195 mn from Kora, Luxor Capital, others

By TEAM VCC

  • 13 Nov 2020
Credit: VCCircle

Online food delivery firm Zomato Pvt. Ltd has raised $195 million in primary capital from six investors, one of its shareholders said Friday.

The company secured $50 million from Kora Management LP, $60 million from Luxor Capital Group and $40 million from Mirae Asset.

It also pulled in $20 million each from Steadview Capital and Bow Wave Capital Management, and $5 million from Baillie Gifford & Co.

The transactions valued Zomato at a post-money valuation of $3.6 billion, its shareholder Info Edge (India) Ltd said in a stock-exchange filing.

Info Edge, the parent of Naukri.com and 99acres.com, said its stake in Zomato will fall to about 20.8% upon closing of the transactions.

Info Edge held a 22.2% stake in Zomato in September when the food delivery company raised $100 million from US-based Tiger Global and $60 million from Singapore state investment firm Temasek. At the time, Zomato was valued at $3.3 billion.

Zomato, like main rival Swiggy, has been raising capital at a fast pace. In January, it raised $150 million (around Rs 1,067 crore) from existing investor Ant Financial at a pre-money valuation of $3 billion.

Zomato was set up in 2008 and initially began as a restaurant review platform before expanding to delivery, promotional programmes, and other associated segments of the food-tech ecosystem.

Other investors in the company include Sequoia Capital, Vy Capital, Nexus Venture Partners and Blume Ventures. According to VCCEdge, the data research arm of Mosaic Digital, Zomato reported consolidated net sales of Rs 1,312.58 crore for the financial year ended March 2019 and posted a loss of Rs 1,001.11 core.