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.
They are not profitable in India?
Ireland Ireland Latest News, Ireland Ireland Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: The Straits Times - 🏆 8. / 63 Read more »