TAIPEI (Taiwan News) — Uber Technologies, Inc. on Tuesday (May 14) announced plans to take over Foodpanda operations in Taiwan. 

Delivery Hero SE has agreed to sell its Foodpanda business in Taiwan to Uber for US$950 million (NT$30.8 billion) in cash, according to an Uber press release. Uber's purchase of Foodpanda in Taiwan is subject to regulatory approval and is slated for the first half of 2025. 

In addition, the two firms have agreed to allow Uber to buy US$300 million worth of Delivery Hero's newly issued ordinary shares. 

Before the deal closes, Delivery Hero said it will continue to run Foodpanda Taiwan. However, after the agreement is finalized, Foodpanda’s local consumers, merchants, and delivery partners “will be transitioned to Uber Eats.”

Uber said that given its current foothold in the Taiwan market, it is “best placed to build upon the significant local operations developed by Delivery Hero and Foodpanda over the past years, and invest further into an improved experience for consumers, merchants, and delivery partners.” Niklas Östberg, CEO and co-founder of Delivery Hero, said his firm has decided that it needs to focus its resources on other parts of the world and the agreement gives Foodpanda "an exciting runway in Taiwan and we wish them all the best in their next chapter."

Uber claimed that the deal would combine Uber's global expertise with Foodpanda's substantial network across Taiwan. The company said customers will benefit from Uber's wider offerings in the north and major cities and Foodpanda's stronger presence in the south and smaller cities. 

Pierre-Dimitri Gore-Coty, senior vice president of delivery at Uber, said merging the two customer bases, vendors, and geographic coverage will provide customers with “more choices and the best prices.” Noting the fiercely competitive nature of Taiwan's market, he pledged that the deal would deliver “even greater convenience and value.”

Once approved, this would mark one of the largest international acquisitions in Taiwan's history outside the semiconductor industry. Uber described its decision to acquire Foodpanda as a “vote of confidence in the continued long-term attractiveness of Taiwan for international companies and investors.”