Uber pauses Europe food delivery expansion as it pursues Delivery Hero deal, FT reports
Uber said recent launches in Finland and Denmark were a success as it pauses five planned market entries while pursuing Delivery Hero.
- On Sunday, the Financial Times reported that Uber paused food delivery expansion in five of seven planned European markets this year, including Austria, Norway, and Greece.
- Uber told the Financial Times that recent launches in Finland and Denmark were a "huge success," prompting the firm to "focus on continuing the momentum" in existing markets rather than expand.
- The pause aligns with Uber's ongoing pursuit of Delivery Hero, which rejected a €10 billion takeover bid in May; Uber has since raised its stake in the German company to nearly 37%.
- Industry sources suggest that halting expansion into markets where Delivery Hero operates could help alleviate antitrust concerns surrounding the potential acquisition, smoothing regulatory hurdles.
- Delivery Hero declined to comment on the reported pause, yet Uber remains intent on finalizing the acquisition despite the company's earlier rejection of the €10 billion bid.
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48 Articles
London. Uber, the transport and courier platform, suspended most of its planned expansion in the home-food delivery sector in Europe, just a few months after announcing such plans, while the shared transport company continues to attempt to acquire Delivery Hero, The Financial Times reported.
Uber Eats slows down in Europe amid battle for Delivery Hero - RetailDetail EU
Uber Eats is putting its European expansion on hold, although its parent company, Uber, continues to eye a takeover of the German company Delivery Hero. Presumably, the American food delivery service is keeping a low profile for the time being so as not to provoke the European competition regulator.
Uber has paused the majority of its planned meal delivery expansion in Europe. Insiders tell the Financial Times that the American company no longer plans to expand into five of the seven countries later this year, including Austria, Norway, and Greece. According to an industry source, the decision is related to the plan to acquire German competitor Delivery Hero.
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