Zomato,the online food restaurant discovery guide has acquired Italy’s Cibando for an undisclosed sum. Zomato has continued its expansion into foreign markets as it aims for a worldwide reach.
Zomato recently expanded to Central and Eastern Europe with the help of two acquisitions. Headquartered in New Delhi, Zomato now has a presence in about 18 countries across the world. Zomato has not revealed the exact terms of its latest acquisition, however it is understood that the whole of Cibando’s team will be joining Zomato and help in its efforts to construct and popularize the band in Italy. Cibando will be integrated into Zomato, bringing its users and traffic into Zomato’s ambit.
Zomato has plans to increase Cibando’s team in Rome and Milan up to 30-34 employees from the current headcount of 10. Furthermore, they will be investing around $6 million in Cibando in the next 2 years, with a plan of scaling up the team to around 150-200 people across Italy’s top six cities.
About Cibando, Zomato’s co-founder Pankaj Chaddah said, “Their existing rich content base, traffic and user base will give us a great start as we launch Zomato in the country,” he says, acknowledging Yelp as the only other main competitor in Italy. “We don’t see that as a threat – there are many other markets where we have entered after Yelp and are now bigger than them.”
Zomato’s penchant of buying local players shows no signs on relenting. According to Chaddah, they are in talks to buy 4 other similar players. He didn’t put a timeline on those acquisitions but it goes to underline the company’s ambitions.
Zomato’s post money valuation stands at a mammoth $660 million now, after it closed a further $60 million in funding in the month of Novermber. Vy Capital, Info Edge and Sequoia Capital are among its major backers. Zomato has plans to enter 15 more countries by 2015.