Alibaba acquires food delivery startup Ele.me for $9.5bn

39
cmt right
35
Comment Right
56
cmt right
13
cmt right
Printer Print Email Email


E-commerce giant Alibaba announced it will acquire full ownership of China's leading online food delivery startup Ele.me for $9.5 billion.

The e-commerce giant and its affiliate Ant Financial currently own about 43 per cent of the outstanding voting shares of Ele.me, Alibaba said in a statement.

"Ele.me can leverage Alibaba's infrastructure in commerce and find new synergies with Alibaba's diverse businesses to add further momentum to the New Retail initiative," Alibaba Group CEO Daniel Zhang said.

With a large delivery force in cities across China, Ele.me's fast local delivery services will build on its core expertise in food delivery to provide consumers with a wider range of products and services on-demand.

"We share the same strategic vision that New Retail has a bright future and being part of Alibaba's ecosystem will take Ele.me's growth to a new level," said Zhang Xuhao, founder of Ele.me.

Ele.me will continue to operate as its own brand, but will combine some services with Koubei, Alibaba's affiliated local services platform.

After the acquisition, Zhang Xuhao will become chairperson of Ele.me and special advisor to Alibaba's CEO on New Retail strategy. Wang Lei, vice president of Alibaba Group, will become CEO of Ele.me.

Ele.me took over Baidu Waimai, Baidu's food delivery unit, last year in an industry consolidation, Xinhua news agency reported.



Read more news:



Microsoft commits $500 mn for new startup initiative



NSE to help startups go public for funds


Source: IANS
SPOTLIGHT
Enterprise IT
Taking on streaming giants like Netflix and Hulu, Walt Disney Co. has announced it will laun..
US Indian
Facebook-owned photo messaging app Instagram has launched the beta version of its in-app sh..
Startup City
Youth are leading India's start-up ecosystem where the median age of founder-entrepreneurs..
Finance
The Reserve Bank of India injected a total liquidity of Rs 2.98 lakh crore in the market in 20..
Gadgets
Google Pixel and OnePlus smartphones are catching up and giving stiff competition to Samsu..
Business
The Pentagon has selected Microsoft and Amazon Web Services (AWS, the cloud computing arm ..
Career
Wiley, a global leader in research and education has announced a series of blended learning progr..
Technology
Facebook-owned messaging app WhatsApp is still developing its previously announced "Vacatio..
Entertainment
"Game of Thrones" author George R.R. Martin doesn't want season eight to be the final chapter of "..