Uber cuts losses from Eats business in India with sale to Zomato

  • 📰 ChannelNewsAsia
  • ⏱ Reading Time:
  • 34 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 66%

Business News News

Business Business Latest News,Business Business Headlines

Uber has sold its online food-ordering business in India to local rival Zomato in exchange for a 9.99per cent stake in the startup backed by ...

BENGALURU: Uber has sold its loss-making online food-ordering business in India to local rival Zomato in exchange for a 9.99per cent stake in the startup backed by China's Ant Financial.

Uber chief financial officer Nelson Chai said the move was another demonstration, following its decision to exit Uber Eats South Korea in October 2019,"of our commitment to take a hard look at Eats markets where we do not have a path to leadership". The unit in India made a loss of US$61 million for the three months to Sept. 30 on revenue of US$20 million, the company said in a filing with the U.S. Securities and Exchange Commission.

Independent brand consultant Harish Bijoor said the deal would also allow Uber to focus on its strengths."It should stick to what its competence is, in terms of being an aggregator of cabs," he said.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

They are not profitable in India?

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 6. in BUSÄ°NESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Uber sells India food delivery business to rival Zomato to cut lossesHONG KONG (BLOOMBERG) - Uber Technologies has agreed to sell Uber Eats in India to local rival Zomato, underscoring the US ride-hailing giant's effort to cut back on loss-making operations globally.. Read more at straitstimes.com.
Source: The Straits Times - 🏆 8. / 63 Read more »