Restaurant search and discovery service Zomato has acquired Czech Republic’s restaurant guide Lunchtime.cz and Slovakia’s restaurant guide Obedovat.sk for a combined amount of $3.25 million to enter the respective markets.
Zomato mentions that the Lunchtime acquisition is already complete while the Obedovat acquisition is expected to be completed by end of September.
Following these acquisitions, the Lunchtime and Obedovat teams will be working closely with Zomato and the integrated product is expected to be rolled out over the next few months. The company mentions it will invest a further $2.5 million into its operations in these countries.
Lunchtime was founded in 2008 by Igor Treslin and Adam Kurzok while Obedovat was founded in 2004 by Creative Web Group.
These acquisitions follow Zomato’s acquisition of New Zealand-based online restaurant guide MenuMania last month. At the time, Zomato founder and CEO Deepinder Goyal had mentioned that they were in advanced acquisition talks with two other companies; one each in Europe and Southeast Asia.
He had also mentioned that they have been actively looking out for global acquisitions ever since it raised $37 million from Sequoia Capital and Info Edge in November last year. They were considering potential acquisitions in five of the 22 new markets they intend to expand over the next two years. Goyal had said that they intend to acquire in countries where local players are already dominating the market and considering team acquisitions or acqui-hires in markets where there is no dominant players.
Zomato co-founder Pankaj Chaddah told Livemint that it plans to enter 10 new markets over the next five-six months through organic and inorganic expansion. This includes Canada, Ireland, Poland, Malaysia, Vietnam, Jordan, Oman and Colombia.
Chaddah also told TechCrunch that they will be shortly entering the Canada market by launching in Toronto in the next two months. This will be be a critical market for Zomato since it will come face-to-face with its biggest competitor Yelp in a market where the latter is already dominant. The company also plans to enter the US market in the second half of 2015, prior to which it plans to raise another round of funding.
Last month, Zomato has expanded its South American presence by launching in Chile, beginning with restaurant listings of the capital city Santiago. Zomato, apparently, had earmarked $2 million for further expansion in the country. The company had entered the South American market in November 2013, with its Brazil launch. It had entered Turkey (Istanbul & Ankara) and Indonesia (Jakarta), at the same time.
Zomato began its international operations in Dubai, UAE and currently operates in South Africa, the Philippines, Portugal, Qatar, and Sri Lanka among others.