Ola buys Foodpanda’s India business
New Delhi: Cab hailing app Ola on Tuesday said it will acquire Foodpanda’s India business from Germany-based Delivery Hero Group in exchange of its stock. Besides, the SoftBank-backed company has committed investments to the tune of $200 million in the Foodpanda India business, which is the largest such funds infusion in an Indian online food ordering and delivery company till now. Under the deal, Foodpanda’s India business will be transferred to Ola in exchange of the latter’s stock, Ola said. It, however, did not divulge details about the number of shares that will be part of the transaction. In 2014, Ola had forayed into the food delivery business with Ola Cafe and had expanded the offering to cities like Delhi, Mumbai and Bengaluru. However, Ola Cafe was later shut down. The competition has been intense in the segment with the likes of Zomato and Swiggy competing aggressively to capture the market. pti
