Grab Holdings Limited (NASDAQ: GRAB) has agreed to acquire Delivery Hero SE’s (FSE: DHER) foodpanda delivery business in Taiwan for $600 million on a cash-free, debt-free basis, subject to regulatory approvals and customary closing adjustments (23/03). The transaction is expected to close in the second half of 2026.

Anthony Tan, Group CEO and Co-Founder of Grab, said, “This acquisition will mark Grab’s expansion into Taiwan, our 9th market and first outside of Southeast Asia. Our experience in Southeast Asia is a direct fit for this market.

Taiwan’s population of approximately 23 million has a high demand for mobile-first services, similar to the Southeast Asian consumers whom Grab serves every day. We see a significant opportunity to grow the food and groceries delivery scene here.”

Strategic and Financial Impact

The acquisition will give Grab a presence across 21 cities in Taiwan, combining its AI-enabled products with foodpanda’s extensive coverage.

In 2025, foodpanda Taiwan generated around $1.8 billion in Gross Merchandise Value (GMV) and was profitable on an adjusted EBITDA basis before Delivery Hero’s group costs.

Niklas Östberg, CEO and Co-Founder of Delivery Hero, stated, “The foodpanda team in Taiwan has built a fantastic business, and we thank them for their hard work. This divestment is a key first step in our ongoing strategic review and underlines our commitment to a more focused global footprint.”

Grab expects the acquisition to be accretive to its previously announced 3-year adjusted EBITDA outlook of $1.5 billion by 2028, contributing at least $60 million in incremental adjusted EBITDA in 2028.

It also reaffirms Grab’s 2026 Group Revenue guidance of $4.04–4.10 billion and adjusted EBITDA guidance of $700–720 million.

AI-Powered Services for Taiwan

Grab plans to bring its AI product suite to Taiwan, using technology that currently serves over 50 million monthly users in more than 900 cities. This includes GrabMaps for real-time route planning and predictive delivery times.

For consumers, Grab will offer personalized restaurant recommendations and a wider selection of cuisines. Merchants will gain access to digital tools, AI Merchant Assistant, real-time sales analytics, and marketing manager tools.

Delivery partners will receive flexible earning opportunities with insurance coverage and in-app safety features.

Grab also aims to introduce Taiwan’s food culture to its international audience of over 50 million monthly users, providing tourists with an easy way to explore local cuisine and help Taiwanese businesses reach a wider market.

Transition and Continuity

Until the deal closes, Delivery Hero will continue to operate foodpanda Taiwan normally. Under a Support Services Agreement, Delivery Hero will assist with the transition to Grab’s platform to ensure that users, merchants, and delivery partners remain well-supported.

Grab targets full migration of users, merchant-partners, and driver-partners from foodpanda to the Grab app by early 2027.

PHOTO: FOODPANDA

This article was created with AI assistance.

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