Last year we reported that Grab may look into buying the FoodPanda business from Delivery Hero SE. After several months of negotiations and talking, Delivery Hero has decided that they are terminating the negotiations and will not be selling off FoodPanda for now.
The company said that the negotiations were for the business in several Southeast Asian markets, covering Singapore, Malaysia, the Philippines, Thailand, Cambodia, Myanmar and Laos. Earlier this month, Delivery Hero said that they are optimistic that the terms of the sale can be reached with the negotiation counterpart.
However, yesterday Delivery Hero decided that they will decide to withdraw from negotiations as the two parties have not come to an alignment on the fundamental terms regarding the sale of the business.
“The strength of our APAC business has become evident during the last quarters as the region reached an inflection point in 2023. We believe the region remains strongly positioned to drive profitable growth at scale. The decision to terminate negotiations after months of discussions was taken after careful consideration.
Niklas Östberg, CEO and Co-Founder of Delivery Hero
As for now FoodPanda operations in Malaysia continue, and Delivery Hero remains open for any Merger and Acquisition (M&A) offers. The company will also continue to assess any potential strategic alternatives available to them.
