Online food delivery company Foodpanda which is owned by ride-hailing startup Ola has announced that it is acquiring cloud kitchen company HolaChef for an undisclosed amount. Notably, Holachef had shut the operations completely earlier in the year. Interestingly, the acquisition talks were taking rounds between the two firms for a while.
Through the deal which is been termed as a distress sale, Foodpanda will get access to the whole business of Holachef, their employees as well as their kitchen and equipment. With the acquisition, Foodpanda has announced their entry in the segment which has been dominated by Faasos, FreshMenu, Swiggy, and Zomato.
Holachef was started in 2014 by Anil Gelra, Gaurav Srivastava and Saurabh Saxena. The company had raked investment of $9.6 million from top firms like Kalaari Capital, SIDBI Ventures, India Quotient, Ratan Tata and others. Post the deal, Saurabh Saxena and Anil Gelra will be joining the Foodpanda as part of their leadership team.
Foodpanda CEO Pranay Jivrajka Talking about the deal said, “At Foodpanda, we are committed to building for unique local tastes and palate choices of the Indian consumer. We aim to build India’s largest cloud kitchen network that will be a major step in further elevating the food experience for our customers.” With Ola’s backing, Foodpanda has taken the rivals head-on. As per the plan of the firm, in the forthcoming months, it will be using Ola's tech and logistical prowess to hire more than 60,000 riders for the delivery of the food items.
Saxena the co-founder of Holachef said that they were thrilled to be joining the passionate team of Ola and Foodpanda. “Our mission with Holachef is to serve incredible food experiences to customers through kitchens with the highest quality & hygiene standards. We are delighted to join hands with Foodpanda, to accelerate our mission. We are thrilled to be part of Foodpanda’s and Ola’s passionate team that is truly changing the food experience for a billion Indians," he said.
Image Credit : hospibuz,holachef