Foodpanda’s parent company, ANI Technologies, will pump in Rs 400 crore over the next 12 months as the online food delivery service aims to boost its logistics and delivery operations, and technology infrastructure to take on rival services including UberEats, Zomato, and Swiggy. Also Read - Ola to offer free oxygen concentrators to the needyAlso Read - Ola India set to launch first electric scooter in 2021
ANI Technologies, which also owns ride-hailing app Ola, acquired Foodpanda last year at $40 million. The acquisition is seen as Ola’s efforts into expanding its services including food delivery. Ola experimented with Ola Cafe, but the service failed to flourish and the latest investment by Foodpanda could be a step in the resurrecting its market position. Also Read - Uber cab service resumed in 31 cities in India with new Lockdown 4.0 guidelines
Pranay Jivrajka, chief executive at Foodpanda is quoted as saying in an ET report, “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 about 17,000 restaurants listed on its platform. With the fresh investment, it will be working on strengthening the backend technology that will allow the company and its restaurant partners work seamlessly.
Jivrajka, who was also a founder partner at Ola, further said that Foodpanda will ramp its number of riders from the current 4,500-5,000 riders to about 25,000 over the course of the next 12-15 months. “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,” Jivrajka said.