German online food delivery giant Delivery Hero has announced the acquisition of Dubai-based grocery delivery platform InstaShop in a deal valued at $360 million.
NiklasÖstberg, CEO and Co-Founder of Delivery Hero in a statement indicated that the deal will spur the expansion of the Berlin-based restaurant delivery company.
Launched in 2015, InstaShopoperates in the UAE, Qatar, Bahrain, Egypt and Lebanon with around 500,000 users who can order food, and other home supplies, pharmacy items, flowers, and other items.
Despite the acquisition, InstaShop will continue operating independently and seeks to expand in the MENA region and how to apply its model to other markets.
Food and other items delivery services have significantly ballooned in MENA, mainly in the UAE because of the lockdown owing to the covid-19 pandemic, with people forces to order in.
Delivery Hero also has seen its revenues shoot up by 93.7% on a year-on-year basis to €1,126.8 million ($1.3 billion) according to half-year results.
The company now listed on Germany’s blue-chip index DAX, runs grocery delivery services across most of its operations in Europe, Latin America, Asia and Middle East/Africa with a market cap of nearly €19 billion ($22 billion).
German Delivery Hero acquires Dubai-based InstaShop for $360M
