– Successful sale achieving a significant return on the original investment for foodpanda
– The sale allows foodpanda to further expand in its 20 core countries across Asia, the Middle East and Eastern Europe as the leading local food marketplace with combined last-mile-delivery operations
Berlin, 3rd November 2016: foodpanda, the leading food delivery business in emerging markets, has agreed to sell 100% of its Russian Delivery Club business to Mail.Ru Group, a leading Russian internet company for USD 100 Million in cash.
foodpanda entered the Russian market in 2012 and in 2014 acquired the local competitor Delivery Club. Since then the group has grown its Russian business significantly, building the market leader in Russian food delivery.
The transaction consideration of USD 100 Million represents a significant return on foodpanda’s original investment.
foodpanda remains the food delivery market leader in emerging markets with a presence in more than 20 countries, including key markets such as Singapore, Hong Kong, India and Saudi Arabia. The Russian business recently accounted for about 10% of foodpanda’s global revenue. The cash proceeds will be re-invested to continue the expansion in foodpanda’s core regions in Asia, Middle East and Eastern Europe.
Mail.Ru Group is one of the largest Russian Internet companies, since 2010 listed on the London Stock Exchange. Its products reach approximately 94% of Russian Internet users, and amongst others owns the country’s most popular email service, the three largest Russian social networks, including 100% of VKontakte, as well as the messaging service ICQ, and Russia’s largest online games business.
Ralf Wenzel, Founder and CEO of the foodpanda Group: “This transaction is a key milestone for foodpanda and proves our ability to successfully build and scale market-leading food delivery businesses. Transitioning our business to Mail.ru, a local internet market leader, allows foodpanda to focus more on the expansion in the Asian, Middle Eastern and Eastern European markets, solidifying and expanding our leading market positions.”
Dmitry Grishin Mail.Ru Group Chairman and co-founder: “While Mail.Ru Group has the lead in the Russian mobile space, the acquisition of Delivery Club further enhances our mobile offering. The food delivery market continues to show steady growth and the combination of our network, resources and expertise with the leading market position of Delivery Club will allow us to take this business to even further success.”
About foodpanda Group
The foodpanda group is the leading online food delivery marketplace in emerging markets. The company operates in more than 20 growth countries in Asia, Middle East, and Eastern Europe. It enables restaurants to become visible in the online and mobile world and provides them with an industry leading software and technology to generate additional demand. For consumers, foodpanda offers the convenience to order food online and the widest gastronomic range, from which they can choose their favourite meal via app or online with a few fingertips. foodpanda has a market leading position in most of its markets, including India, Singapore, and Hong Kong. It has built proprietary food ordering software and technology for over 40.000 partner restaurants and over 6mm active users worldwide. Furthermore, foodpanda is able to ensure in-time delivery and quality through proprietary, own “last-mile” delivery technology and operations – even in complex markets and cities.
About Mail.Ru Group
Mail.Ru Group (LSE:MAIL, listed since November 5, 2010) is a leading company in the Russian-speaking Internet markets (Russia is Europe’s largest Internet market measured by the number of users, comScore). Mail.Ru Group’s sites reach approximately 93% of Russian Internet users on a monthly basis (comScore, June 2016).
In line with the ‘communitainment’ (communication plus entertainment) strategy, the Company is building an integrated communications and entertainment platform. The Company owns Russia’s leading email service and one of Russia’s largest internet portal, Mail.Ru (TNS, all Russia, age 12-64, June 2016). The Company operates the three largest Russian language social networks, Vkontakte (VK), Odnoklassniki (OK) and Moi Mir (My World), and Russia’s largest online games business (including such gaming titles as Warface, Armored Warfare, Skyforge and Perfect World). The Company also includes a leading OpenStreetMap-based offline mobile maps and navigation service MAPS.ME, two instant messaging (IM) services, Mail.Ru Agent and ICQ, which are popular in Russia and Commonwealth of Independent States (CIS), and other products.