Delivery Hero has signed an agreement to sell its Foodpanda operations in Taiwan to Southeast Asian ride-hailing and delivery company Grab for $600m in cash.
In a statement, Delivery Hero said that the deal forms the first step in an ongoing strategic review.
The company plans to use the net proceeds from the deal to repay debt and for general corporate purposes, including strengthening its capital structure.
The transaction is expected to close in the second half of this year, subject to regulatory approvals.
Following completion, Foodpanda’s local customers, vendors and delivery partners in Taiwan are expected to transition to Grab. Delivery Hero said it remains “fully committed” to operating as usual in the market until closing.
Delivery Hero co-founder and CEO Niklas Östberg said: “The Foodpanda team in Taiwan has built a fantastic business, and we thank them for their hard work.
“A transaction like this is a significant undertaking, but we are delighted to have agreed this cash deal, which reflects the strength and attractiveness of the business in Taiwan.”
Meanwhile, the transaction will give Singapore-based Grab a delivery foothold outside Southeast Asia.
Grab co-founder and Group CEO Anthony Tan said: “This acquisition will mark Grab’s expansion into Taiwan, our ninth market and first outside of Southeast Asia.
“This is a natural next step for Grab, as our experience in Southeast Asia is a direct fit for this market. We see a significant opportunity to grow the food and groceries delivery scene here.”
In full-year 2025, Delivery Hero’s Taiwan food delivery operations generated gross merchandise value (GMV) of €1.5bn ($1.75bn) and delivered positive adjusted EBITDA [earnings before interest, taxes, depreciation, and amortisation].
“Delivery Hero to divest Taiwan food delivery business for $600m” was originally created and published by Verdict Food Service, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
