NEW DELHI :
Food aggregator Swiggy on Friday said it has entered into a definitive agreement to acquire Times Internet-owned table booking platform Dineout.
Sriharsha Majety, CEO of Swiggy, said in a statement that the acquisition will allow the firm to explore synergies and offer new experiences in a high-use category. It did not disclose the financial details of the transaction.
The Mint first reported about the potential acquisition earlier in February.
“Dineout is a well-loved brand that enjoys loyalty from both consumers and restaurants. Times Internet and the founding team should be credited for the transformational impact they have brought about in the dining out experience through their products, technology and vast selection of restaurant partners,” added Majety.
Post the acquisition, Dineout will continue to operate as an independent app and its founders Ankit Mehrotra, Nikhil Bakshi, Sahil Jain and Vivek Kapoor will join Swiggy, the statement said.
“At Dineout, we always wanted to revolutionize the restaurant industry and this acquisition is an accelerating step towards the same goal,“ Ankit Mehrotra, co-founder & CEO, Dineout.
Founded in 2012, Dineout was acquired by Times Internet in 2014 through its TimesCity platform for an estimated value of ₹60 crore. Dineout currently has a network of over 50,000 restaurant partners in 20 cities.
“We are proud of the positive impact that Dineout has created for consumers and restaurants, helping streamline and improve the eating out experience. Swiggy+Dineout is a powerful combination,” said Satyan Gajwani, vice chairman of Times Internet.
Swiggy, the SoftBank-backed Indian food delivery aggregator, closed a $700 million funding round in January led by asset management firm Invesco, almost doubling its valuation from its previous fund raise to $10.7 billion.
The firm’s food delivery business had nearly doubled in gross order value in the last year, it said. This fund raise will enable Swiggy to accelerate growth on the core platform and make meaningful investments to bolster its hyperlocal delivery Instamart.
If the deal with Dineout goes through, Swiggy may be following the route taken by Zomato, for offering more of a 360-degree ecosystem for restaurants, according to Samir Kuckreja, founder and chief executive officer of Tasanaya Hospitality, a boutique consulting firm that is also a transaction advisory for restaurants, had told Mint.