Flipdish worth more than $ 1bn in finances under the direction of Tencent

Chinese technology group Tencent has paid $ 96m to the Flipdish restaurant industry, raising its price to $ 1.25bn – 10 times what it had earned in its previous financial year.

Flipdish provides food processing programming expertise, a business that grew during the epidemic when many restaurants found it necessary to make shipping.

The agreement reflects the interest of businesses in companies working to deliver fast-growing housing, which has benefited consumers by starting to order online during a series of closures over the past two years.

Thousands of restaurants signed up with delivery programs such as Deliveroo and UberEats during the epidemic, but Flipdish says the brand consumes restaurant profits and high commissions and said it provides a way for businesses to avoid using larger platforms.

Shipping partners say commissions are used in advertising and technology to help them increase the demand for restaurants.

Conor McCarthy, co-founder and CEO of Flipdish, said the relationship between restaurants and caterers has become “dangerous” as co-operatives have started making their own food and competing with restaurants for dyeing.

Flipdish from Dublin has about 7,000 restaurants using its technology in 25 countries, compared to more than 50,000 restaurants using Deliveroo in the UK. But McCarthy said a “small portion” of Flipdish customers often stop using integrated delivery services because of the high cost.

Flipdish pays restaurant rates 7 per cent on import, compared to 30 percent on Deliveroo. The Irish company doubled its investment by 2020 and sold twice in 2021, but declined to give any exact figures.

Deliveroo said its platform allows the restaurant to “reach customers who could not be brought in, while offering a number of services to help the restaurant grow”.

In a recent budget, Tencent paid around $ 80m for less than 8 percent of the business, with McCarthy and his brother and co-founder James overseeing the board.

Tencent, one of China’s largest companies and a major home-based retailer, has also supported the German food delivery company Gorillas and is a major partner in China’s Meituan delivery program.

McCarthy said: “We look forward to choosing Tencent’s brain, but at the same time we are running the business the way we have been doing for the past seven years. We don’t need Tencent’s expertise to grow.

The money will be used to expand existing markets, including the UK, Ireland, US and France, and to employ 700 workers this year. It currently has 320 employees.

Simon Stenning, an independent food specialist, said professional companies like Flipdish could find it difficult to compete with the likes of Just Eat, Deliveroo and UberEats because the big towers were now “cooked” for the restaurant business.

“Having your own program looks great [and] it sounds good, but consumers do not want to use it. Having several colors on one app that works for consumers is consistent. ”