By Olivia Bugault
Delivery Hero SE said late Friday that it agreed with some shareholders of Glovo to purchase an additional 39.4% stake in the Spanish quick-commerce company.
Delivery Hero already holds a roughly 44% stake in Glovo on a nondiluted basis, and will own about 83.4% after completion of the deal–which should happen in the second quarter of the year–therefore becoming its majority shareholder, the German online food-delivery service said.
Delivery Hero will issue its own shares in exchange for shares in Glovo, it said.
Glovo’s brand, platform and management team will remain after closing of the deal, Delivery Hero said.
Founded in 2015, Glovo now operates in more than 1,300 cities across 25 countries in Europe, Central Asia and Africa. It has a run rate of roughly three billion euros ($3.41 billion) in gross transaction value with an organic growth rate of 80% in 2021, Delivery Hero said.
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(END) Dow Jones Newswires
January 03, 2022 02:24 ET (07:24 GMT)
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