Zomato to discontinue services in UAE

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Zomato: Zomato, a food delivery marketplace, announced on November 14 that it would no longer allow users in the United Arab Emirates (UAE) to order food through its app.

App users will be transferred to Talabat starting November 24. Zomato sold its UAE meal delivery business to Talabat in 2019, according to a regulatory filing. Zomato had been providing services to Talabat in return for cost reimbursement after selling the UAE-based company.

“The company will discontinue providing services to Talabat in the UAE from November 24, 2022 and customers who wish to order food through the Zomato app in the UAE will be redirected to Talabat, as per the terms of the agreement between the parties,” Zomato informed stock exchanges.

“The suspension will not have any material impact on the company’s finances and operations,” it added. Zomato “will continue to offer restaurant and food discovery services outside the UAE,” the filing further said.

After saying that the company would only concentrate on its activities in India, Zomato CEO Deepinder Goyal made the announcement a few months later.

“International business no longer fits into our roadmap. Not at all,” Goyal had said while speaking to CNBC TV18 on July 12.

When Zomato made the decision to pull out of Lebanon in November 2021, it officially announced its exit as a food delivery service from all international markets.

The corporation had earlier closed its operations in Singapore, the United Kingdom and the United States.



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