Grab to buy Foodpanda Taiwan from Delivery Hero for $600 million

In a significant development for the food delivery sector, Grab announced on Monday its decision to purchase Foodpanda's operations in Taiwan from Delivery Hero for an impressive $600 million in cash. This acquisition marks Grab's first foray outside Southeast Asia, showcasing its ambition to expand its market reach. The transaction is currently awaiting regulatory approval and is projected to finalize in the latter half of 2026. Grab plans to fully transition users, merchants, and driver-partners to its platform by early 2027, streamlining operations and enhancing service delivery. This strategic move follows Uber Technologies' failed attempt to acquire Foodpanda's Taiwan business in March 2025, which was blocked by the Taiwanese antitrust regulator due to concerns about market competition. At that time, the competition between Uber Eats and Foodpanda was fierce, with Foodpanda holding a notable 52% market share against Uber Eats' 48% between 2022 and 2023. The Fair Trade Commission of Taiwan expressed concerns that the merger would lead to a combined market share of nearly 90%, potentially stifling competition and driving prices up. However, the dynamics could shift with Grab's acquisition. With this deal, Grab would control just over 50% of the market, positioning itself as a stronger contender against Uber Eats instead of forming a monopoly. Anthony Tan, Group CEO and Co-Founder of Grab, emphasized the strategic fit of this acquisition, stating, "Our experience in Southeast Asia aligns perfectly with the unique demands of the Taiwanese market. We have a proven track record in managing complex delivery logistics, particularly in bustling urban environments." With Taiwan's population of around 23 million showing a growing appetite for mobile-first services, similar to those in Southeast Asia, Grab sees substantial potential for growth in the food and grocery delivery market. Following the acquisition, Grab aims to bolster its presence across 21 cities in Taiwan, enhancing its competitive edge and capitalizing on Foodpanda's established local reach. Notably, Foodpanda's Taiwan operations generated approximately $1.8 billion in Gross Merchandise Value (GMV), indicating a robust business opportunity for Grab.