Online food delivery firm Zomato is all set to make an investment in fitness platform Curefit as it aims to diversify its bets across food, fitness and logistics, according to sources privy to the development. The round is also likely to give Curefit an entry into the much coveted unicorn club making it the 36th unicorn of the year.
To be sure, Zomato already has a stake in fitness startup Fitso.
However, according to sources, Zomato is expected to divest its stake in Fitso which will be acquired by Curefit first for a minority equity stake.
Following this, Zomato will make a cash investment in Curefit.
CureFit was founded in 2016 by Mukesh Bansal, co-founder of fashion marketplace Myntra, and Ankit Nagori, former chief business officer of Flipkart.
It last raised $75 million from Tata Digital, a wholly-owned subsidiary of Tata Sons in June. The valuation around that time was pegged at $850-900 million.
In August, Moneycontrol reported that Ankit Nagori was in talks to raise Rs 100 crore to build a house of food and cloud-kitchen brands. This came nearly a year after Nagori swapped his stake in Cure.fit to take control of its cloud kitchen arm Eat.fit.
Curefit is likely to be among at least half a dozen other companies which are expected to see investments coming from Zomato including Shiprocket and Magicpin. Moneycontrol reported about the company’s plans to invest across other startups earlier on November 10.
Moneycontrol also reported about Zomato’s plans to invest in Shiprocket first on November 9.
Zomato recently raised over $1.25 billion by listing on the public markets, comprising a fresh issue of equity shares worth Rs 9,000 crore and an offer-for-sale (OFS) worth Rs 375 crore by existing investor Info Edge.
Some of these investment disclosures will happen with Zomato’s second-quarter results on November 10.
It is also likely to unveil its investment in business discovery and rewards platform Magicpin, which counts Zomato founder Deepinder Goyal as a board member. Zomato has already made an investment for a 10 percent stake in the grocery delivery app, Grofers.