To many of our readers, this will come as a surprise: Delivery Hero, the world’s biggest online food delivery firm, stated yesterday night that it is going to sell its German food delivery operations to Netherlands-based Takeaway.com for €930 million.
This means, Delivery Hero will sell its German food delivery businesses Lieferheld, Pizza.de and foodora in return for a cash and equity stake in the Dutch company. The deal value includes €508 million in cash and 9.5 million shares in Takeaway.com worth €422 million. Headquartered in Berlin, Delivery Hero will use this fresh capital to further accelerate the expansion of its international food delivery operations outside of Germany. The company already operates in 40+ markets around the globe.
Takeaway, the leading food ordering service in the Netherlands, now seems to have won an expensive fight for dominance in the German market with Delivery Hero. According to Takeaway, orders grew by 40% in the German market in this year’s third-quarter.
Takeaway has reportedly secured committed debt financing of €680 million for the cash portion of the transaction. Once completed, the equity portion of this deal will represent a stake of about 18% of Takeaway’s total shares.