Singapore – Global food delivery company Delivery Hero, has confirmed that there are negotiations regarding the potential sale of its subsidiary brand, foodpanda, within select markets in Southeast Asia.
In a statement, the company plans to sell its activities under the foodpanda brand in Singapore, Cambodia, Laos, Malaysia, Myanmar, the Philippines and Thailand.
The negotiations are currently in their preliminary stages and it is still uncertain and subject to various open points whether this will lead to a definitive agreement. The purchase consideration for the entire transaction is still under negotiation.
Regarding this news, media sources report that it caused shares in foodpanda to lift as much as 13.5%, with Delivery Hero focusing on reaching profitability while maintaining growth as investor confidence in the company started to wane after a pandemic-driven boost.
Just recently last month, Niklas Oestberg, CEO of Delivery Hero, notably said that Asia was the segment where the company saw the most opportunity to invest.
As of current, potential buyers of the business are still unconfirmed and undisclosed by the Delivery Hero Group. However, several news outlets claim to report that tech platform and super app provider Grab could pay the equivalent of as much as a billion euros for the unit.
