Full Breakdown
Delivery Hero to Sell Taiwan Food Delivery Operations to Grab for $600 Million
3/23/2026, 12:27:52 PM
Overview of the Transaction
Delivery Hero SE, a leading global food delivery platform headquartered in Berlin, has announced an agreement to sell its food delivery operations in Taiwan, including the foodpanda platform, to Singapore-based Grab Holdings Limited for USD 600 million. This transaction is structured on a cash-free, debt-free basis and is subject to regulatory approvals, with an expected closing in the second half of 2026. The sale is part of Delivery Hero's ongoing strategic review aimed at enhancing capital allocation and unlocking shareholder value.
Strategic Implications
The proceeds from the sale will be utilized to repay debt and support general corporate purposes, thereby strengthening Delivery Hero's capital structure. Niklas Östberg, CEO and Co-Founder of Delivery Hero, emphasized the significance of this divestment as a pivotal first step in their strategic review. He noted the strong performance of the foodpanda team in Taiwan and expressed gratitude for their contributions.
Anthony Tan, Group CEO and Co-Founder of Grab, highlighted that this acquisition marks Grab's entry into Taiwan, its ninth market and first expansion outside Southeast Asia. He sees substantial growth potential in the Taiwanese food and grocery delivery sector, leveraging Grab's existing experience in Southeast Asia.
Financial Performance
In 2025, Delivery Hero's food delivery operations in Taiwan generated a gross merchandise value (GMV) of approximately EUR 1.5 billion and reported positive adjusted EBITDA before group cost allocations. This financial performance underscores the attractiveness of the Taiwan market, which Grab aims to integrate into its broader platform following the completion of the transaction.
Operational Continuity
Both companies have assured stakeholders that operations will continue as usual until the deal is finalized. Following the closing, customers, vendors, and delivery partners associated with foodpanda are expected to transition to Grab's platform, with a full migration targeted by early 2027.
Official Statements
Delivery Hero stated that the transaction is a significant undertaking that reflects the strength of its Taiwan business. The company is committed to maintaining high service levels during the transition period. Grab's leadership expressed confidence in the acquisition, viewing it as a natural progression for the company as it seeks to expand its footprint in the food delivery market.
Criticism & Opposition
While the transaction has been framed positively by both companies, there may be concerns regarding the impact on local competition and service quality post-acquisition. Stakeholders in the Taiwanese market may scrutinize how the integration of foodpanda into Grab's operations will affect existing service dynamics.
What's Next
Delivery Hero plans to host an investor call to discuss the transaction further and will publish its audited results for the full year 2025 on March 26, 2026. The outcome of the regulatory approvals will be a critical next step in the completion of this significant deal.
Verbatim Quotes
- “This divestment is a key first step in our ongoing strategic review.” — Niklas Östberg, CEO Co-Founder of Delivery Hero
- “We see a significant opportunity to grow the food and groceries delivery scene here.” — Anthony Tan, Group CEO and Co-Founder of Grab
