Delivery Hero Might Be Selling Foodpanda To Grab

Delivery Hero Foodpanda Grab

In a recent announcement, Berlin-based Delivery Hero confirmed that it is currently in talks to sell part of its Asian business. While negotiations are currently ongoing, word on the street is that Singapore’s Grab could pay a little more than 1 billion euros (approx RM5.02 billion) for the unit.

Delivery Hero is considering selling its activities under the Foodpanda brand in Singapore, Cambodia, Laos, Malaysia, Myanmar, the Philippines and Thailand, Reuters reported.

Last month, Delivery Hero Chief Executive Niklas Oestberg said that Asia was one of the company’s largest revenue drivers and is also the segment where the company saw the most opportunity to invest. However, the company looks to “pull back a little” in order to put ore focus on profitability.

According to Reuters, Singapore internet firm Grab reported US$567 million in revenue the previous quarter which ended on 30 June 2033 and expects to break even on an adjusted core earnings basis in the current quarter. The majority of Grab’s sales comes from the food delivery business; however, the company has recently seen a decent growth in its ride-sharing business as well.

While negotiations between Delivery Hero and Grab are ongoing, there is currently no guarantee if a sale will actually happen.

The company has confirmed that negotiations are underway regarding a potential sale of its foodpanda business in selected markets in Southeast Asia. In a statement published on the company website, it said the negotiations are currently at preliminary stage and still under negotiation.

Read More: GXBank, Grab-led Digital Bank First To Receive BNM Approval

Get free weekly money tips!

*Free of charge. Unsubscribe anytime.