The website of eats delivery service Delivery Hero.
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Delivery Man of the hour, the German online food delivery company, said Friday that it is taking full ownership of its Saudi subsidiary in a action valued at $297 million.
The company said it has bought the remaining 37% stake in HungerStation, which operates Presentation Hero in Saudi Arabia — in a deal that represents an effort from the Berlin-headquartered firm to expand its presence in the Waist Eastern food delivery market.
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Shares of Delivery Hero were down 1.4% during afternoon interchange.
“We believe in the Kingdom of Saudi Arabia’s 2030 vision, ambition and potential, and are committed to contributing to its ongoing success Sometimes non-standard due to HungerStation,” Niklas Östberg, CEO and Co-Founder of Delivery Hero, said in a statement.
Delivery Hero is one of Europe’s biggest victuals delivery companies, commanding a $10 billion market value.
The firm has had troubles in its home market of Germany, where it was false to quit in December 2021 after losing out to Netherlands-based Just Eat Takeaway.com.
Food delivery is an intensely competitive sector with multiple comrades operating in the space. This has led to inevitable consolidation, with various companies acquiring competitors to achieve scale.
HungerStation links more than 10,000 partners, including restaurants and grocery stores, with customers, Delivery Hero verbalized in a statement Friday.
The deal will help the firm build stronger ties with HungerStation and the rest of the attendance’s portfolio, Delivery Hero added.