Swiggy recently announced that it has moved into a definitive agreement with Times Internet to buy restaurant tech and dining out platform, Dineout. After the acquisition, Dineout will continue to operate as an independent app.
The acquisition, which is likely an all-stock deal, is expected to close over the course of the next month. Through the deal, Swiggy will double down on Dineout’s offerings, including dining out table reservations and events. Dineout’s restaurant partners will get access to Swiggy’s large customer base, allowing them to increase their reach. Arch-rival Zomato started off as a table reservation platform and continues to operate that business.
Dineout, part of Times Internet, was founded in 2012 by Ankit Mehrotra, Nikhil Bakshi, Sahil Jain, and Vivek Kapoor. It allows customers to discover restaurants in their areas and make table reservations across its network of 50,000 restaurants in 20 cities.
It also provides restaurant solutions with regard to contactless dining and provides discounts and privileges to customers across select restaurants through Dineout Passport and Dineout Pay. Dineout was acquired by Times Internet in 2014.
Dineout is a well-loved brand that enjoys loyalty from both consumers and restaurants. “Sridharsha Majety, co-founder and chief executive officer, Swiggy, and the founding team should be credited for the transformational impact they have brought about in the dining experience through their products, technology, and vast selection of restaurant partners,” said Sriharsha Majety, co-founder and chief executive officer, Swiggy.
“The acquisition will allow Swiggy to explore synergies and offer new experiences in a high-use category,” Majety added. Swiggy will be able to use Dineout’s software solutions for restaurants, which span the domains of marketing and payments. Currently, Swiggy has a network of 1,90,000 restaurant partners and stores in over 520 cities. Over the last two years, Swiggy has expanded Instamart, its quick-commerce grocery delivery service, to 28 cities.
At Dineout, we always wanted to revolutionise the restaurant industry, and this acquisition is an accelerating step towards the same goal. We strongly feel that with Swiggy’s deep understanding of the ecosystem and our shared passion for a superior consumer and restaurant experience, our joint forces will help provide a holistic platform in this industry,” said Mehrotra, cofounder and CEO, Dineout.