Zomato gets over $100 million from Tiger Global – valuation could hit $3.4 billion

• The company has raised $102.5 million at a $3.4 billion valuation, reported Entrackr.
• With the latest investment, Zomato has raised $319.5 million in 2020 so far.
• The food tech unicorn’s funding will also help it gather steam to fight against its Indian rival Swiggy and the likes of Amazon entering the market.

Indian food tech unicorn Zomato has received fresh funds from Tiger Global Management. The company has raised $102.5 million at a $3.4 billion valuation, reported Entrackr.

However, recently analysts at HSBC had valued the startup at $5 billion.

With the latest investment, Zomato has raised over $319.5 million in 2020 so far. Zomato has not released an official statement as of yet. This comes at a time when the company’s operations have been hit by the coronavirus pandemic.

Zomato: Fundraising in 2020

In the first quarter of FY21, with most restaurants being shut and operating on a takeaway only business, Zomato reported a revenue of $41 million and loss of $12 million. “In terms of the size of the business, COVID-19 has set us back by a year or so – but a year is only a small blip when you are building a company for the next 100 years,” wrote Zomato CEO Deepinder Goyal in an earlier blog.

Zomato had laid off 1300 employees due to the pandemic. Goyal said that he dreads that 40% of their restaurants will shut down because of the pandemic.

The foodtech unicorn’s funding will also help it gather steam to fight against its Indian rival Swiggy and the likes of Amazon entering the food delivery market.

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