Spanish mutli-category delivery platform Glovo has acquired two of Berlin-based Delivery Hero’s brands for €170 million. Ownership in Romania and Bulgaria’s foodpanda and Serbia, Montenegro, Bosnia and Herzegovina’s Donesi, and Croatia’s Pauza will all soon change hands. It is expected that the deals in Bosnia Herzegovina, Bulgaria, Croatia, Montenegro and Serbia will close within the next few weeks, subject to the customary regulatory approvals and fulfillment of conditions, with the Romanian deal to be completed following approval from the competition authority.
“Delivery Hero has built a clear leading business in the Balkan region in the last couple of years,” comments Delivery Hero founder and CEO Niklas Östberg. “However, with a lot of operational priorities on our plate, we believe Glovo would be better positioned to continue building an amazing experience for our customers in this region.”
Not quite done shopping yet, Glovo has also announced another acquisition, this time, Slovenia’s local delivery company Ehrana, for an undisclosed fee. This transaction is slated to close within the next few months, but Glovo is already working with Ehrana to design a transition strategy for users, partners, and riders.
“It’s always been central to our long-term strategy to focus on markets where we see clear opportunities to lead and where we can build a sustainable business. Central and Eastern Europe is a very important part of that plan,” states Glovo CEO and co-founder Oscar Pierre. “The region has really embraced on-demand delivery platforms and we’re very excited to be strengthening our presence and increasing our footprint in countries that continue to show enormous potential for growth.”
I guess we’re now starting to see the reality of that record €450 million Glovo picked up a few months back. When Pierre says, “ … allow us to double-down in our core markets, accelerate our leadership position in places where we are already very strong and continue to expand our excellent Q-Commerce division,” he’s not joking around.