Meals supply app Zomato, which is working to discover public markets later this 12 months, has reached an settlement to take a position $100 million in on-line grocer Grofers for a couple of 10 per cent stake.
In accordance with TechCrunch, the proposed funding values the seven-year-old startup Grofers, which counts SoftBank as its largest investor, at over $1 billion.
Zomato’s proposed funding is a part of a broader spherical, through which others together with Tiger International and SoftBank Imaginative and prescient Fund 2 are anticipated to chip in some capital. Zomato mentioned it had no remark to make, citing sources, the report mentioned.
The management groups at Grofers and Zomato have lengthy been shut mates and commenced exploring this funding earlier this 12 months.
Each the corporations are additionally open to the concept of Zomato buying a majority stake in Grofers within the coming quarters, although a choice hasn’t been reached and will not be absolutely explored till Zomato turns into a publicly-traded firm, the supply instructed TechCrunch.
Zomato, which acquired Uber’s Indian meals supply enterprise early final 12 months, has instructed a few of its main traders that it envisions a future the place the agency has expanded a lot past the meals supply class, the supply mentioned, requesting anonymity because the talks are personal.
Grofers has witnessed a pointy surge in its recognition previously 12 months as a number of Indian states enforced strict lockdown restrictions to include the unfold of the virus.
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