Uber Eats Set to Acquire foodpanda's Business in Taiwan from Delivery Hero

Uber Technologies, Inc. (NYSE: UBER) has announced a definitive agreement to acquire the foodpanda delivery business in Taiwan from Delivery Hero SE (FSE: DHER) for $950 million in cash. This transaction additionally involves Uber purchasing $300 million in newly issued ordinary shares of Delivery Hero. The close of this acquisition, anticipated in the first half of 2025, is contingent upon regulatory approvals and customary closing conditions.

The acquisition aims to consolidate the customer, merchant, and delivery partner base in Taiwan into a unified platform, thereby optimizing operational efficiencies and expanding service offerings. This strategic move is expected to facilitate synergy between Uber Eats and foodpanda's wide-reaching networks in Taiwan, offering a broader selection of food choices and improved delivery services across various cities and regions. The integration will particularly enhance offerings, combining Uber’s strength in northern Taiwan and major urban areas with foodpanda’s strong presence in the southern region and smaller cities.

Niklas Östberg, CEO and Co-founder of Delivery Hero, acknowledged the transaction as a forward step enabling Delivery Hero to concentrate on other markets globally with greater potential impact. Pierre-Dimitri Gore-Coty, Senior Vice President of Delivery at Uber, highlighted the expected benefits such as greater consumer choice, enhanced restaurant demand, and increased earnings opportunities for delivery partners.

The deal highlights Taiwan's status as an attractive investment destination for international firms. It marks one of the largest international acquisitions in Taiwan outside the semiconductor sector, underscoring the substantial potential and growth opportunities in the region's online food delivery market.