Zomato to invest and acquire stake in Adonmo and UrbanPiper Tech
Food delivery platform zomato announced that its board in its meeting has approved investments in two Indian companies – Adonmo Pvt Ltd and UrbanPiper Technology Pvt Ltd.
The company will acquire a 19.48% stake in ed-tech company Adonmo for a total cash return 112 crore while it will buy 5% equity in B2B software platform UrbanPiper 37.38 crores.
Zomato said, “Both UrbanPiper and Adonmo investments are synergistic to our core business and will help accelerate the growth of these companies, which will help fill critical gaps in the food ordering and delivery ecosystem in India. “
UrbanPiper is a B2B software platform that acts as the ‘middle layer’ between restaurants and food ordering and delivery players and With its investment, Zomato said it hopes to boost UrbanPiper’s penetration in the restaurant industry.
AdOnMo is an ed-tech company, thus Zomato said that the growth in the platform of AdOnMo will help our food ordering and delivery business to leverage the new digital avenues for customer acquisition.
The proposed investments are subject to the accomplishments of certain customary conditions and other terms and conditions agreed under the investment agreements.
Zomato further says that the exchanges discussed by the board in its meeting also approved the incorporation of a wholly owned subsidiary of the company as a non-banking finance company (NBFC).