Delivery Hero and Ola join forces in India
- Ola to acquire foodpanda India from Delivery Hero
- Ola commits to investing $200mn in foodpanda India
Berlin, 19 December 2017 – Delivery Hero Group (“Delivery Hero”), the leading global online food ordering and delivery marketplace, announced today that it has agreed to sell its Indian business, foodpanda India, to Ola, India’s most popular mobility platform, in return for shares in Ola. At the same time Ola commits to investing $200mn in foodpanda India.
This contribution is in-line with Delivery Hero’s strategy to further build its leadership positions and consolidate markets. The India business represents a small portion of Delivery Hero’s overall business, contributing 1.9% of total segment revenues for the first 9 months of 2017. At the same time the equity stake in Ola will allow Delivery Hero to participate in the long term Indian food delivery opportunity. Delivery Hero acquired foodpanda and its subsidiary foodpanda India in December 2016.
Niklas Östberg, CEO of Delivery Hero, commented:
“The partnership with Ola will allow us to further consolidate markets where it strategically makes sense to collaborate with leading local players. At the same time we consider our stake in Ola as a very valuable asset, while Ola’s investment commitment in Foodpanda India is a clear and confident signal to the Indian market. The foodpanda India team has done a tremendous job building the business and we look forward to supporting them and the Ola team in the future.”
Bhavish Aggarwal, CEO of Ola, commented:
“I’m excited about our partnership with Delivery Hero as we team up to take foodpanda India to the next level. As one of India’s pioneers in the food delivery space, foodpanda has come to be a very efficient and profit focused business over the last couple of years. Our commitment to invest $200mn in foodpanda India will help the business be focused on growth by creating value for customers and partners. With Delivery Hero’s global leadership and Ola’s platform capabilities with unique local insights, this partnership is born out of strength. I look forward to welcoming the foodpanda India team to the Ola family.”
About Delivery Hero
Delivery Hero is the leading global online food ordering and delivery marketplace with number one market positions in terms of restaurants, active users and orders in more countries than any of its competitors and online and mobile platforms across 40+ countries in Europe, the Middle East & North Africa (MENA), Latin America and the Asia-Pacific region. Delivery Hero also operates its own delivery service primarily in 60+ high-density urban areas around the world. The Company is headquartered in Berlin and has over 6,000 employees in addition to thousands of employed delivery drivers.
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WKN: A2E4K4; ISIN: DE000A2E4K43.
Founded in Jan 2011 by IIT Bombay alumni Bhavish Aggarwal and Ankit Bhati, Ola (formerly Olacabs), is India’s most popular mobility platform. Ola integrates city transportation for customers and driver partners onto a mobile technology platform ensuring convenient, transparent and quick service fulfilment. Ola is committed to its mission of building mobility for a billion people. Using the Ola mobile app, users across 110 cities can book from over 800,000 vehicles across cabs, auto-rickshaws and taxis. Ola has also introduced a range of shared mobility services on its platform like Ola Shuttle and Ola Share for commute and ride-sharing respectively. The app is available on Windows, Android and iOS platforms.