The much talked about rumour in India’s hyperlocal and food delivery segments might get to a positive conclusion very soon. According to inside sources, Zomato has agreed to buy Swiggy in an all-stock deal. This is primarily done in order to counter Swiggy, which has grown up to be one of the leading food delivery companies in the country.
If the sources are to be believed, Zomato is in talks with Runnr since a long time. According to the latest reports, Zomato is set to acquire Runnr at a valuation of ₹250 crores ($40 Million). FYI, Runnr is a merged entity of RoadRunnr and TinyOwn. This transaction is valuing Zomato at ₹5000 crores ($800 million).
Out of the ₹250 crores, Million worth of shares pledged to Runnr, ₹150 crores ($25 million) will go to investors and remaining ₹100 crores ($15 Million) will go to founders and employees. The reports also suggest that Runnr was also in talks with UberEats for a possible merger or acquisition, however, the deal did not go through.
The official announcement for this move is expected soon. With the merger, Zomato will take on Swiggy directly. Swiggy has raised ₹500 crores last week from Naspers. Swiggy claims to have an average of a lakh orders per day as compared to Zomato’s 80,000. The rival Swiggy has sticked to delivering with its own fleet despite the method not being cut effective.