Grab Enters Taiwan with USD 600mn foodpanda Acquisition

Grab Holdings has agreed to acquire Delivery Hero’s foodpanda delivery business in Taiwan for USD 600mn in cash, marking the Singapore-based super app’s first expansion beyond Southeast Asia and a significant step in its regional growth strategy.

The transaction will be executed on a cash-free, debt-free basis and is expected to close in the second half of 2026, subject to regulatory approvals. Upon completion, Taiwan will become Grab’s ninth market, extending its footprint into a highly developed, digitally mature economy.

The deal gives Grab immediate access to one of Taiwan’s leading food delivery platforms, which generated approximately USD 1.8bn in gross merchandise value in 2025 and is already profitable on an adjusted EBITDA basis. The company expects the acquisition to contribute at least USD 60mn in incremental EBITDA by 2028, making it accretive to its medium-term financial targets.

Strategically, the move reflects Grab’s ambition to leverage its AI-driven logistics, pricing and delivery optimization capabilities in dense, high-demand urban environments. Taiwan, with a population of around 23 million and strong adoption of mobile-first services, presents a natural extension of Grab’s Southeast Asian operating model. The company plans to integrate its technology stack, including mapping, routing and merchant tools, into the platform, while maintaining service continuity during the transition period.

For Delivery Hero, the sale represents a key step in portfolio rationalisation as the German group seeks to streamline operations and strengthen its balance sheet. Proceeds from the transaction are expected to be used primarily for debt reduction and general corporate purposes, following a broader strategic review. The deal also comes after a previously attempted sale of the same business was blocked by regulators, highlighting the evolving competitive dynamics in Taiwan’s food delivery market.

Beyond market entry, the acquisition underscores a broader trend of consolidation in the global food delivery sector, where scale, operational efficiency and technology integration are increasingly critical. By combining foodpanda’s established local network with its own ecosystem of ride-hailing, payments and logistics services, Grab is positioning itself to deepen engagement with consumers, merchants and delivery partners.

The company also sees Taiwan as a gateway to further expansion, aiming to replicate its “super app” model while supporting local businesses and tapping into tourism flows through its international user base. As competition intensifies and profitability becomes a central focus across the industry, Grab’s move signals a more selective, scale-driven approach to growth beyond its core Southeast Asian markets.

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