Info Edge has made another investment amounting to US$ 10 Million (Rs. 55 Crores) in Zomato. Zomato will use the monetary infusion to fuel its expansion in international locations including such popular tourist destinations like Philippines and South Africa revealed Deepinder Goyal, Founder & CEO of Zomato, “We plan to use these additional funds for product development, scaling up our sales team in various locations, and further international expansion. India is already a profitable business for us, and our UAE business is very close to breaking even. Info Edge has been a great partner for us — we are excited about deepening this relationship with an aim to build a global internet business out of India.”
By being profitable in India, Goyal was referring to Zomato’s recent milestone of breaking even which happened two months ago. However, the company’s growth is what must have enticed Info Edge to invest again. The same firm who owns & operates online recruitment portal Naukri.com had earlier put in a total of Rs. 31 Crores (US$ 5.7 Million) in multiple rounds of funding.
A four year old startup, Zomato has managed to find a promising niche of recommending location specific eateries & restaurants based on the choices expressed by the user. Additionally, its unorthodox but workable approaches have enabled it to tie-up with a lot of restaurants that collectively offer a huge database in almost every corner of major metros.
With operations in 5 countries, Zomato recently made an entry in Europe. In fact, the company seems to be currently focused on covering major portions of the globe & offer its patrons the widest possible choice no matter wherever they are. Though not in the league of Yelp which is currently valued at $1.3 billion, Zomato’s efforts are very focused & motivated. Let’s see how well this funding round is tactically utilized by the company.