Delivery Hero ends negotiations for foodpanda business sale in SEA

The company said they remain open to future M&A.

Delivery Hero terminated negotiations with a potential buyer of its foodpanda business in selected markets in Southeast Asia due to differences in fundamental terms of the sale of the business.

The sale of foodpanda includes its businesses in Singapore, Malaysia, the Philippines, Thailand, Cambodia, Myanmar, and Laos.

“When reconfirming ongoing discussions on February 2, 2024, Delivery Hero remained optimistic that it would reach agreeable terms for signing with the main negotiating counterpart,” Delivery Hero said in a statement.

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“At that time, the Company believed it had reached an alignment with the potential buyer on the fundamental terms regarding the sale of the business. However, Delivery Hero took the decision to withdraw from negotiations as this is no longer the case,” it added.

Despite this, Delivery Hero said it remains open to merger and acquisition but will only proceed with the negotiation if it will “create value for shareholders with high certainty of closing.”

Niklas Östberg, CEO and Co-Founder of Delivery Hero also added that its business in Asia Pacific reached an inflection point in 2023, adding that the region is positioned “to drive profitable growth at scale.”