Malaysia's foodpanda business may be sold by December 2023.
Delivery Hero, the parent company of foodpanda, is considering selling its Malaysian foodpanda business by December 2023, as reported by the New Straits Times on Nov. 2, citing anonymous sources.
The sources also claimed that most of foodpanda Malaysia's staff were in the dark about the matter, although there were some who expected the worse and are already looking for a new job.
In response to the New Straits Times' queries, foodpanda Malaysia said it had "nothing new" to share on the matter.
Six other foodpanda markets including S'pore likely to be sold off
The Malaysian foodpanda business is one of seven markets in Southeast Asia that Delivery Hero is planning to sell, according to German business magazine Wirtschaftswoche, which first reported the news on Sep. 20.
The other six markets are Singapore, Cambodia, Laos, Myanmar, Thailand, and the Philippines.
Currently, foodpanda is Southeast Asia's second-largest food delivery company, capturing a share of 30 to 40 per cent of the food delivery market in each of its operating country, according to the New Straits Times.
The total value of these potential deals is still under negotiation, reported Reuters.
Grab could be a potential buyer foodpanda operations
Grab is rumoured to be a potential buyer of these foodpanda operations.
In the second quarter of 2023 ending on Jun. 30, Grab stated that its revenue grew by 77 per cent on a year-on-year basis to US$567 million (S$775 million).
A significant portion of its revenue came from its food delivery business.
Grab is scheduled to unveil its third-quarter 2023 revenue and other financial results on Nov. 9 at 8pm. It is expected to break-even on an adjusted core earnings basis for the third quarter of 2023.
Related stories
Top image from foodpanda/Facebook and Canva.