Uber has officially exited India’s online food delivery market after selling its stake in Zomato.
Uber Technologies acquired the 9.99% stake in 2020 when it sold its Uber Eats business to Zomato, which is India’s largest food delivery service.
Uber sold its stake this week in a block trade, which saw Zomato’s share price dip 0.2 percent.
India’s online food delivery market has been highly desirable for investors in recent years; however, the shine has faded as the reality of the loss-making ventures has been revealed. Zomato has reported quarterly losses since the company went public last year.
However, despite the losses, the company has reported consistent increases in orders as consumers embrace the food delivery market, which is expected to treble over the next three years, with Zomato tipped to maintain around 50 percent market share.
Uber's ride-hailing business continues to operate in India's competitive market, where it competes with local rival Ola for market share.