Deliveroo has announced that Delivery Hero, a Berlin-based food delivery group, has gained a 5% stake in the company.
The two company’s act as rivals in the Middle East through Delivery Hero’s Talabat brand, and in Hong Kong and Singapore via its Foodpanda arm.
The build up of Deliveroo shares represents a continuation of the German group’s strategy, which has seen it take minority stakes in a number of food delivery groups across the world.
These include European group Just Eat Takeaway.com, the Spain-based Glovo, and Latin America’s Rappi.
In a statement, Deliveroo revealed that it received the “TR-1 notification of major holdings” following the market close on 6 August 2021.
Giles Thorne, managing director of equity research, TMT at Jefferies, told the FT that “it is hard to say with conviction at this point what Delivery Hero’s intention is”.
Catering Today has contacted Deliveroo for comment, while Delivery Hero confirmed the investment as a sign of confidence in “the future potential of the delivery industry as a whole”.