British food delivery company Deliveroo announced on Monday its decision to exit the Hong Kong market. The company will sell certain assets to Delivery Hero’s foodpanda for an undisclosed
sum, while other assets will be shut down.
Deliveroo cited unique challenges in the Hong Kong market as key factors in its strategic decision, stating that continuing operations there would not be in the best interest of shareholders.
The company's Hong Kong operations have been unprofitable, contributing to around 5% of its overall transactions.
To facilitate the exit, Deliveroo has appointed liquidators to wind down the parts of its business not acquired by foodpanda. The company confirmed that its Hong Kong platform will remain operational until April 7. Photo by Môsieur J. [version 9.1] from Rouen, FRANCE, Wikimedia commons.
