Zomato Acquired Uber Eats 1

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WELCOME

• Subject Name :- Negotiation & Selling Skills


• Topic :- Zomato acquired Uber Eats for an all-stock acquistition
deal
• Presented To :- Prof. Sachin Khare Sir & Students
• Presented By :- Daivat Vilasrao Chavan (08)
• College Name :- SGSJK’s Aruna Manharlal Institute of Management &

Research
• Course :- Masters of Management Studies
• SEM :- I
Definition & Meaning Of Negotiation
• Definition:- “Negotiation is a dialogue intended to resolve disputes, to provide an
agreement upon courses of action, to bargain for individual or collective advantage or to
craft outcomes to satisfy various interests.”
OR
 Negotiation is a dialogue between two or more parties to resolve disputes, conflicts, or
issue so that both parties find the solution acceptable.

• Meaning:-
 Mean by which people deal with their differences.
 To negotiate is to seek mutual agreement through dialogue.
 May work under other titles such as diplomats, legislators or brokers.
 It is a powerful method for resolving conflict and requires skill and
experience.
What is Difference Between Aquistition And
Merger?
Zomato acquired Uber Eats for an all-stock
acquistition deal
• History – ZOMATO

• Founded:- July 2008


• Founders:- Deepinder Goyal & Pankaj Chaddah
• Area Served:- World Wide (Currently operates in 24 countries)
• Foodiebay till 2010. After renamed as ZOMATO
• Services:- Restaurant Search & Discovery, Online Food Ordering,
Table Reservations, etc.
• Headquarters:- DLF Phase V, Gurgaon, Haryana, India.
• Employees:- 2500+
• Website:- https://Zomato.com/
History – Uber Eats

• Industry:- Online Food Ordering


• Founded:- August 2014
• Founders:- Travis Kalanick, Garrett Camp
• Headquarters:- San Francisco, California, U.S.
• Area Served:- 45 countries, 6000+
• CEO in India:- Dara Khosrowshahi
• Owner:- Uber (Parent Company)
• Website:- www.ubereats.com
Introduction
• On 21st January 2020, ZOMATO one of the largest food
delivery business in India, announced that it has acquired
Uber Eat’s food delivery business in India.
• Acquistition is completed in all-stock transaction.
• Which gives Uber Eats 9.99% ownership in ZOMATO.
• Although ZOMATO acquire 100% equity of Uber Eats.
• Uber selling Uber Eats India to ZOMATO IN $350 million
(Rs. 2492 CR.) all-stock deal.
What was the Terms & Conditions of
Zomato to acquire Uber Eats India?
• Inactive in the country.
• Goodwill and Trademark.
• Customers.
• 70,000 active delivery partners and restaurants partners.
• Discontinue operations and direct restaurants, delivery
partners, and users of Uber Eats apps to Zomato platform.
• Uber Eat’s 200 employees?
• All-cash deal.
What was the Terms and Conditions of Uber
Eats to sell their 100% equity to Zomato?
• All-stock deal.
• Ownership of 9.99% equity in Zomato which worth $350
million (Rs.2492 Cr.)
• Accept 200 employees.
• Accept 70,000 delivery partners.
Terms and Conditions agreed by both Zomato
and Uber Eats respectively
• Zomato:-
 Agreed for all-stock deal.
 Agreed to give 9.99% equity shares to Uber Eats.
 Accepted 70,000 delivery partners.

• Uber Eats:-
 Inactivation of food delivery business in India.
 Customers.
 70,000 active delivery partners and restaurants partners.
 Discontinue operations and direct restaurants, delivery partners, and users of Uber Eats
apps to Zomato platform.
Which Terms and Conditions Should be more
Negotiated by both Zomato and Uber Eats?
• Zomato:-
 Minimizing equity shares of Uber Eats.

• Uber Eats:-
 Should have take stand for their 200 employees.
Conclusion
• Zomato acquired Uber Eats for all-stock deal which worth $350 million (Rs.2492
Cr.)
• Less Competition to Zomato.
• Competitive advantage for Zomato
• Expansion.
• This deal will provide great discounts to customers.
• Covers investments by Uber Eats.
• Uber continue with local rides.
• Impact on Uber Eat’s 200 employees.
• Would make industry a duopoly.
• Win-Win situation for both.
• Integrative Negotiation.
References
• https://blog.ipleaders.in &
• https://piidm.com &
• www.conferenceworld.in
• www.scribd.com
Thank You

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