After around half-a-year, the anti-trust regulator of Ukraine, or its Anti-Monopoly Committee, has officially approved the proposed acquisition of Uber for Glovo’s Ukrainian business, which is also owned by Germany’s Delivery Hero.
Right now, Uber can start making moves should it pursue the acquisition of Glovo, which is also present in Ukraine. Glovo is a Spanish on-demand delivery company and mobile platform that is headquartered in Barcelona.
Glovo takes charge of connecting customers and consumers with restaurants, grocery stores, pharmacies, and retail shops using a fleet of independent couriers, like DoorDash and Uber Eats.
This approval lets Uber gain indirect control of Delivery Hero, through its subsidiary, Uber International Technologies II Corporation, which will then allow Uber to establish a significant presence in Ukraine, and put Glovo’s Ukrainian operations under its control.
Uber is based in San Francisco, while Delivery Hero is based in Berlin. However, the latter is present in around 65 countries nowadays, with Glovo among the companies under its wing.
“We have created a strong company in Ukraine, and it is one of Glovo’s top five markets. It is extremely successful and growing by double digits,” Glovo’s co-founder Sacha Michaud stated about this deal. “I believe this will only consolidate the continuity of the project that we are implementing in Ukraine. I think that only positive things can happen around this.”
Michaud further stated that he expects the deal to establish a strong impact on Glovo’s business in Ukraine, being among Glovo’s largest markets.
Under this deal, Uber would be able to control Delivery Hero in 50 markets, including Glovo’s presence in Ukraine.
However, take note that Uber won’t have complete control of Delivery Hero everywhere. In 14 other markets of this business, such as in Moldova, Poland, Portugal, Romania, and Spain, it is investment firm SSW Partners that will do business. It is interesting to note that this is a company that invests in high-quality businesses and collaborates with partners to create enduring value for all stakeholders.
It has been previously reported here on Ridesharingforum.com in July Uber’s plans to take over some of Glovo’s operations, such as in Morocco as well, this following reports that Delivery Hero had been involved in an illegal cartel, reason for the European Union to fine the company.
It was in July 16th when the deal erupted in the news, placing Delivery Hero at about $14.8 billion, or $13.7 billion excluding Uber’s existing stake in the company. However, all these will go through a due process. Share your thoughts when you open your account now on RSF! ‘Til then!