As per the reports, Uber Technologies Inc. is planning to sell its Uber Eats operations in India to rival company, Swiggy. Uber Eats has entered the food-delivery business in India recently and it is less than two years old. The initial discussions between Uber and Bangalore-based Bundl Technologies Pvt, which owns the Swiggy brand, are progressing and a deal could be sealed within the coming weeks.
Brian Amnanna, spokesperson from Swiggy said, “Swiggy doesn’t comment on market rumours or speculation.”
Uber started its food-delivery business in India in 2017 with much fanfare and a huge marketing budget. The San Francisco-based company has poured resources into the operations to lure users with bargain food deals delivered to the doorstep but it’s pitted against competitors with powerful investors.
The food delivery platform, Swiggy has raised $1 billion in funding in December from investors including South Africa’s Naspers Ltd. and China’s Tencent Holdings Ltd.
As per the company reports, Uber Eats operate in more than 37 Indian cities. Whereas, Swiggy, founded in 2014, delivers from about 60,000 restaurants in at least 80 cities, while the other leading player, New Delhi-based Zomato, transports orders from 80,000 restaurants in 150 Indian cities.
Food ordering and delivery platform Swiggy said that it has launched ‘Swiggy Stores’ to provide access to consumers items across multiple categories. The company will deliver from these stores “in categories such as fruits and vegetables, kiranas and supermarkets, florists, baby care, health and supplements among others,” Swiggy said in a statement. With the launch of these stores, Swiggy wants to become the one-stop delivery app that enables access to every store in the city, it added.