The $3bn Indian food delivery start-up Zomato has been cut off from its biggest Chinese investor in the first major example of how Delhi’s new foreign investment laws have hit funding.
In January, Zomato announced it had secured $150m in fresh funding from Ant Financial, the Chinese digital payments giant. But it has been unable to access $100m of that total, according to two people with direct knowledge of the situation.
In April, the Indian government announced that it would block “opportunistic takeovers” by requiring official approval for any investment from a country that shares a land border with India.
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