Tuesday, January 13, 2015

India's Zomato in talks to raise USD 100 million after US acquisition

India's rapidly growing Internet- and mobile-based companies have attracted billions of dollars in funding in the last couple of years from foreign investors including Japan's SoftBank Corp and Temasek Holdings Pvt Ltd.

Some of the technology startups have used the private equity investments to acquire local peers to boost presence in a market that has the world's third-largest Internet user base, but overseas acquisitions are rare.

The acquisition of Urbanspoon, which marks Zomato's entry into the United States, Canada and Australia, will result in its presence in 22 countries, covering more than one million restaurants, Zomato said.

Seattle-based Urbanspoon, which was previously owned by media mogul Barry Diller's IAC/InterActiveCorp, competes with Yelp Inc, a popular website that lets users review and rate restaurants and other services.

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