Zomato, an online food delivery company controlled by Info Edge India, is the latest to win funds from Alibaba. Alipay Singapore, a unit of Alibaba, along with its affiliates, agreed to infuse about USD 210 million in the company.
Alibabas second consecutive investment in Zomato since the beginning of this year reportedly pegs the startups valuation at USD 2 billion, and underscores the Chinese ecommerce majors interest in the Indian online market. In February, Zomato received USD 150 million from the payment unit of Alibaba in a deal that valued the company at more than USD 1 billion.
According to a report by Boston Consulting Group and Google in February, online consumer spending in India is likely to expand more than two-fold to around USD 100 billion by 2020, led by the growth in ecommerce, travel, financial services, and digital media.
Alibaba is already an investor in Paytm, Indias largest digital payments service. Alibabas Ant Financial unit is also the largest shareholder in Paytm. In February 2018, Alibaba also invested in online grocery retailer Big Basket, becoming the companys largest shareholder.
Alibaba, which has already made a splash in China with its Hema supermarket chain that houses restaurants where robotic devices replace wait staff, is reportedly scouting for a partner in India.
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