 "Food delivery major Zomato denies it is acquiring logistics firm Shiprocket")
Food delivery major Zomato, in a regulatory filing, has denied claims that it has offered to acquire logistics unicorn Shiprocket for $2 billion.
“We deny this statement and would like to caution investors against such incorrect news floating in the market. We remain focused on our existing businesses with no plans for any acquisition at this moment,” the company said.
Reports recently surfaced that Zomato, which holds around 8 per cent stake in Shiprocket, was looking to acquire the logistics platform.
Zomato chief executive officer (CEO) Deepinder Goyal, in a tweet on X (formerly Twitter), also denied the reports.
“Kindly note that the company does not comment on media speculation but is clarifying this information out of abundant caution, given the large size of the deal mentioned in the news article and the uncertainty that it may create in the market,” he said.
Queries sent to Shiprocket did not elicit any response. Notably, Zomato had invested in Shiprocket during its $185 million series E funding round back in 2021. The logistics major is also backed by the likes of Lightrock India and Temasek — Singapore’s sovereign wealth fund.
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Shiprocket provides a technology stack to help retailers integrate their shopping websites on platforms like Shopify, Magento, WooCommerce, Zoho, and others. The platform’s multi-carrier application programming interface (API) manages orders, prints, and shipping labels.
The firm’s services are available in over 24,000 pin codes within India and 220 countries and territories worldwide.
The company recently witnessed a 78 per cent increase in its operating revenue during the financial year ending March 31, 2023. The startup reported operating revenue of Rs 1,089 crore, a 1.7-fold increase from Rs 611 crore in the previous financial year.