Foodpanda's parent Delivery Hero raises $431.45 million from Naspers
Foodpanda runs both marketplace and the delivery business for its partner restaurants in India. It currently works with over 12,000 restaurants across 100 cities in India
May 22, 2017 / 07:06 PM IST
Food ordering firm Foodpanda on Monday said that South Africa's Naspers is investing USD 431.45 million into its parent company Delivery Hero.
The investment will happen primarily into newly issued shares and at a valuation in line with Delivery previous valuation. According to media reports, Delivery Hero was valued at 2.8 billion euros during its last round in June.
This investment will help fuel Foodpanda fuel growth plans and strengthen India position, the company said in a statement. However, there was no clarity on the amount of investment Delivery will make in Foodpanda's India business, through this fund.
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Naspers will get a board seat on Delivery Hero's Supervisory Board following this round.
"We are constantly looking to strengthen and enhance our food ordering and delivery experience. We recently launched the India app and have made significant investments in technology and delivery ecosystem. This funding will help further our goals in making the Foodpanda experience impeccable, for each of our customers," said Saurabh Kochhar, chief executive officer, Foodpanda India.
Foodpanda runs both marketplace and the delivery business for its partner restaurants in India. It currently works with over 12,000 restaurants across 100 cities in India.
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"Food ordering and delivery presents an attractive opportunity for us. It is a large, underpenetrated, and growing market with potential for success across a broad range of geographies that Naspers knows well. Delivery Hero has already achieved significant traction in some markets, but we believe that the vast majority of high-growth markets are at the beginning of the opportunity cycle," said Bob van Dijk, chief executive officer of Naspers.
Berlin-headquartered Foodpanda was incubated by Rocket Internet. The company was bought by rival Delivery Hero (too backed by Rocket Internet) in December.
Foodpanda largely competes with Zomato which last raised USD 60 million and Bengaluru-based Swiggy in the India market.