June 24, 2024


Unlimited Technology

Indian food delivery firm Zomato’s co-founder exits after 6 years

By Chandini Monnappa

BENGALURU (Reuters) -Zomato Ltd co-founder and head of supply Gaurav Gupta has left the Indian food delivery firm after six years, the company said https://www.zomato.com/blog/always-in-love-with-zomato on Tuesday, months after it went public in a high-profile listing.

Gupta, who was promoted to the position of founder in March 2019, had been instrumental in helping build Zomato’s premium membership subscription and driving up sales in a competitive market.

His departure comes a day after local media reported https://www.moneycontrol.com/news/business/startup/zomato-goes-leaner-as-after-grocery-it-shuts-down-nutraceutical-business-as-well-7458341.html that Zomato had shut its health and fitness products business just six months after launch at a time when the government was getting stringent about private label rules in India.

The company earlier this month laid off about 70 people from its sales team, according to a source who declined to be named as the matter was private.

Zomato did not immediately respond to a Reuters request for comment.

The layoffs were the latest in a line of initiatives by the company to focus more on its mainstay food delivery business.

Zomato had also exited several of its international markets to focus solely on its India businesses in the build-up to its July market debut, in which its stock soared nearly 66%.

Zomato shares ended little changed on Tuesday after swinging wildly earlier in the session.

Moneycontrol had first reported https://www.moneycontrol.com/news/business/companies/zomato-founder-gaurav-gupta-quits-7464451.html on Gupta’s exit earlier in the day.

($1 = 73.7030 Indian rupees)

(Reporting by Chandini Monnappa and Shivani Singh in Bengaluru; Editing by Rashmi Aich and Aditya Soni)

Source News