Analysis & Comment

India's Zomato raises $195 million from six investors at $3.6 billion valuation

FILE PHOTO: A delivery worker of Zomato, an Indian food-delivery startup, waits to collect an order from a restaurant, during an extended nationwide lockdown to slow the spread of the coronavirus disease (COVID-19), in New Delhi, India, May 21, 2020. REUTERS/Anushree Fadnavis

MUMBAI (Reuters) – Indian food delivery startup Zomato raised $195 million from six investors, including U.S.-based hedge funds Kora Management and Luxor Capital, according to a regulatory filing on Friday.

The fundraising values the company, one of India’s most prominent start-ups, at a post-money valuation of $3.6 billion, according to the filing by top shareholder Info Edge (India) Ltd INED.NS.

The investment is the latest in a slew of funding for Zomato in recent months, ahead of its planned initial public offering in the first half of 2021.

In September, the company raised $160 million from U.S. hedge fund Tiger Global Management LLC and a unit of Singapore’s Temasek Holdings.

Zomato, like many other startups in India, has been grappling with the economic fallout of a two-month nationwide lockdown earlier this year to curb the spread of coronavirus. It diversified into grocery and alcohol deliveries as a way to sustain itself during the pandemic.

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