Zomato’s meal ordering service in the UAE will be discontinued; app users will be routed to Talabat

Zomato, a food delivery service, said on Monday that it will be terminating its food ordering app for subscribers in the United Arab Emirates (UAE).

Customers ordering food using the Zomato app in the UAE will be diverted to Talabat beginning November 24, 2022. Zomato sold its food delivery business in the UAE in 2019.

Following the sale of the UAE-based business, the company provided services to Talabat in exchange for cost reimbursement.

“The Company will stop delivering services to Talabat in the UAE on November 24, 2022, and clients wishing to buy meals through the Zomato app in the UAE will be diverted to Talabat, as per the terms of the parties’ agreement,” Zomato stated in a regulatory filing.

Zomato stated that the closure will have no substantial impact on the company’s financials and that it will continue to provide restaurant discovery and dining-out services in the UAE.

“We would also want to inform the exchange that this termination will have no meaningful impact on the Company’s financials or operations. In the UAE, the company will continue to provide restaurant discovery and dining-out services “added the filing

Zomato’s net loss for the quarter was 250.8 crore, compared to 434.9 crores in the same quarter the previous year. Meanwhile, operating revenue increased by 62.20 percent to 1,661.3 crores.

The company said last week that the gross order value of its food division increased by 3% in the second quarter compared to the previous quarter.