Berlin-based, publically traded, e-commerce group, Rocket Internet has acquired a 30% stake in food delivery service company, Delivery Hero, and in a flurry of consolidation, has also acquired the holdings of nine other food delivery companies in Asia and Europe. The group’s newly acquired assets will become part of a new division within the company to be called the Global Online Takeaway Group. The Delivery Hero deal came at a cost of US$586 million, however, no financial information was release regarding the additional acquisitions. In addition to these acquisitions which now give Rocket Internet food delivery businesses in 39 countries, the group recently led a Series E round of fundraising together with Insight Venture Partners, for Hello Fresh. The newly formed Global Online Takeaway Group will cover over 140,000 restaurants in 64 markets, and will process over 78 million orders per month. Despite this scale, Rocket Internet continues to rapidly create new correlated business models such as Bonativo, which delivers orders from farmer’s markets and independent vendors. By packaging businesses that offer similar services into ‘global startup conglomerates’, it creates an economy of scale and network of resources that will better be able to compete with more mature players in the sector, and possibly prove more attractive for future initial public offerings or takeover bids.
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