Food delivery company Zomato on Tuesday acquired competitor Uber Eats in an all-stock deal for an estimated $350 million (Rs 2,485 crore), reported The Economic Times. With the acquisition, Uber will cease to operate its food delivery business in India, and will get a 9.99% stake in Zomato.

In a blog post, Zomato said Uber Eats will direct restaurants, delivery partners and users in India to the Zomato platform from Tuesday. However, Zomato will not take Uber Eats employees in the transition. Around 100 executives will either be reallocated to Uber’s other verticals in the country or laid off.

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Zomato said the development had made it the “undisputed market leaders” in the food delivery segment in India.

Zomato founder Deepinder Goyal tweeted saying: “Uber Eats India is now Zomato. Here’s to better food for more people, and new beginnings”.

“India remains an exceptionally important market to Uber and we will continue to invest in growing our local Rides business,” Uber’s Chief Executive Officer Dara Khosrowshahi said. “We have been very impressed by Zomato’s ability to grow rapidly in a capital-efficient manner and we wish them continued success.”

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“Zomato has acquired Uber Eats in India and we’ll no longer be available here with immediate effect,” the company tweeted. “We wish all our users more good times with great food on the road ahead. We’ll be shutting down our page down now. If you have any queries, please feel free to reach out to our customer service.”

“We are proud to have pioneered restaurant discovery and to have created a leading food delivery business across more than 500 cities in India,” Goyal said in the blog post.

Uber Eats, which pulled out of South Korea earlier this year, said it will continue to operate in Bangladesh and Sri Lanka. India accounted for 3% of the business’ gross bookings globally. Uber Eats was launched in India in 2017 and struggled in the business as its other local rival Swiggy dominated the food delivery market.