India-based online transport service Ola is reportedly considering investing $62.2m in online food delivery platform Foodpanda India.
The ride-hailing app owned and operated by ANI Technologies, Ola, acquired foodpanda India business from German online food ordering and delivery marketplace Delivery Hero.
The investment forms part of Ola’s commitment to invest $200m in foodpanda India to focus on its future growth, which was announced at the time of the acquisition in December last year.
Foodpanda India CEO Pranay Jivrajka was quoted by The Economic Times as saying: “Creating a robust technology stack is a fundamental need, which will also play a massive role in building a strong delivery ecosystem.
“We are also working on the consumer-facing side of the business to provide a more fulfilling user experience.”
Foodpanda has a network of over 15,000 restaurants across more than 100 Indian cities. Ola has a presence in 110 cities with nearly a million cabs or drivers.
Jivrajka added: “We are also ramping up our last mile connect by hiring 25,000 delivery riders. This is in line with our go-to-market strategy to make a difference in the food ordering experience of our restaurant partners, customers and riders.”
Currently, the major players in the Indian online food delivery segment are Swiggy, Zomato, and UberEATS among others.