In an ongoing series of its global footprint readjustment, local delivery platform Delivery Hero has sold off another $150 million worth of its stake in Latin America-based Rappi. With Rappi currently valued at $2.2 billion, Delivery Hero will retain a 7.9% stake (on a fully diluted basis) in Rappi, and CEO and co-founder Niklas Oestberg noting that he’ll remain on the Rappi board, “for the time being.”
Extremely grateful to have joined the Rappi journey 4 years ago. 🙏 Simon, @mejiasebas and Filipe are three incredible entrepreneurs 🙌 and the learnings have been endless. I’m confident the journey just started.🚀 I remain in the board for the time being. (2/2)
— Niklas Oestberg 🥙🛒🚴♀️ (@niklasoestberg) January 10, 2022
Delivery Hero jumped on board with Rappi during its $52.8 million Series B round that saw investors including Sequoia Capital, Y Combinator, and Andreessen Horowitz participating and providing the company with a $400 million valuation.
However, as we saw over the course of 2021, Delivery Hero has been realigning its global footprint, most notably purchasing a larger stake in Spain’s Glovo, and the release of investment in Rappi should come as no shock. According to the company, “Delivery Hero will continue to exercise a disciplined capital allocation, and focus on investments that are in line with the Group’s strategic vision.”