Amazon reportedly drops $20M in Yummy77
Amazon will hold a minority stake in the Chinese online food vendor but will allow it to operate as a standalone company.
Amazon appears to have invested millions into an online company that provides fresh food to customers across China.
Under the terms of the deal, Amazon will invest $20 million into the Shanghai-based Yummy77 in return for a minority stake, reported TechNode on Monday. Yummy will remain an independent entity and be allowed to operate as it has to this point, said the report.
Yummy launched in China in 2013, offering seasonally fresh products for order online. The company ships its products, which include seafood, meat, and dairy, across China. This would be the first time Amazon has invested in a Chinese company.
Amazon's investment in Yummy77 is perhaps no surprise. Amazon has its own food-shipping services: AmazonFresh, which offers fresh groceries and more than 500,000 different items for free same-day, and Prime Pantry, a dry goods grocery delivery service. It's not clear whether the investment in Yummy included some additional technology or help from the Chinese firm in expanding AmazonFresh.
CNET has contacted Amazon for comment. We will update this story when we have more information.