Zomato invests in AdOnMo, UrbanPiper Technologies; announces subsidiary as NBFC

Online food aggregator Zomato has announced its investment in two tech companies. The online food aggregator has acquired a 19.8 per cent stake in ad-tech company AdOnMo Private Limited for Rs 112.20 crore. Not only this, Zomato has also acquired 5 per cent shares of the B2B software platform UrbanPiper Technologies for Rs 37.38 crore.
 
The stake acquisition in UrbanPiper Technologies is a part of the larger $24 million funding round. The company confirmed these developments in an exchange filing. The investments will be subject to certain customary conditions as well as other terms and conditions agreed under the investment agreements.
 
“Pursuant to the approval of the Board, the Company has finalized and executed the relevant agreements for the Proposed Investments. The Proposed Investments are each subject to fulfillment of certain customary conditions precedent and other terms and conditions agreed under the investment agreements,” the filing read.
 
Urban Piper Technologies is a B2B software platform that works like a “middle layer” between restaurants and food ordering and delivery players and enables restaurants to integrate with multiple players via a digital interface. “With our investment; we hope to fuel UrbanPiper’s penetration in the restaurant industry," Zomato further said in the filing.
 
AdOnMo, on the other hand, is an ad-tech company that works on enabling cloud-connected digital screens with contextual and targeted advertising capabilities. Here, ads can be served digitally, in real-time and can also be customised and targeted for hyperlocal audiences. Zomato believes, “Growth in AdOnMo’s platform will help our food ordering and delivery business leverage new digital avenues for customer acquisition.”
 
Zomato further stated in the filing that it has also approved the incorporation of a wholly-owned subsidiary of the company as a non-banking finance company.

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