In less than two months after raising $110 Mn, Rocket Internet backed food delivery startup Foodpanda has raised an additional $100 Mn funding led by Goldman Sachs Investment Partners, with Rocket Internet among the existing investors also participating. This new funding takes the total funds raised by the company to $310 Mn to date. The valuation of the company cannot be asserted at the moment.
Foodpanda currently covers over 580 cities across 40 countries in five continents. The company claims to have more than 60,000 restaurants on its menu. Foodpanda has also acquired about 9 startups in India, Mexico, Russia, Brazil, Eastern Europe, Middle East and Asia. In India, foodpanda has recently acquired JustEat India operations & Tastykhana.
The company plans to use the latest fundraise to further expand its own delivery activities and improve overall customer experience.
“We believe that Foodpanda has a tremendous opportunity to cement its emerging markets leadership position in the coming years. It is our expectation that the company innovative, value-added offerings will lead Foodpanda to be the winner in online food delivery within the markets in which it operates,” said Ian Friedman of Goldman Sachs Investment Partners.
Looking at the heated competition in the foodtech space in India, foodpanda have been working aggressively to dominate. Just recently, it introduced its own food delivery services in five cities and has hired over 500 personnels to manage delivery. It is further planning to hire another 2000-2500 delivery executives for the business, they are also planning to expand it to 10-12 cities by the end of the year. The firm is currently targeting restaurants, which have delivery services as well as those that have not yet stepped into this realm.
In India, foodpanda has spread to over 200 cities, has over 12,000 restaurants on its platform and claims to get 150,000 unique visitors every day growing and is growing at 25-30% month on month, with mobile accounting for over 50% of the orders.
Lately, a lot of activity is taking place in the food delivery space and just recently, Zomato said it will be investing $50 Mn for setting up food delivery business. The company has also started with online food ordering service in Delhi, with Mumbai and Bangalore to follow.
Interestingly, Ola has also started food delivery business in the country.