The commission first launched its probe of the online food delivery sector over concerns that companies had agreed to divide national markets and later expanded the investigation to cover additional conduct. Enforcers are now also looking at potential agreements between companies to share commercially sensitive information and alleged no-poach agreements, or agreements not to hire one another’s workers.
Delivery Hero Could Face €400M Antitrust Fine : Ongoing Investigation
It’s not clear yet what other companies may be involved with the investigation, and enforcers have no deadline to complete the probe.
Delivery Hero, based in Berlin, operates in 70 countries with brands including Govo, foodpanda, and talabat. The company generated around €11.1 billion in revenue last year while delivering €47.6 billion in merchandise, according to its annual report.
In May, Delivery Hero struck a deal to sell its foodpanda operations in Taiwan to Uber Technologies Inc. for $950 million, marking one of the biggest international deals in Taiwan’s history outside the semiconductor industry. Uber also agreed to buy $300 million of newly issued Delivery Hero shares in a separate transaction announced alongside the deal.
No Comments from Stakeholders
Representatives for Delivery Hero and the commission declined to comment Monday. The potential €400 million antitrust fine underscores the increasing scrutiny and regulatory challenges facing major players in the online food delivery sector.
