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Foodpanda, the food delivery platform operated by Germany’s Delivery Hero SE, will cease operations in Thailand on May 23, following unsuccessful negotiations to sell its Southeast Asian business.
The company alerted customers to Foodpanda shutting down via an in-app notification on April 23. Delivery Hero said its strategic decision about Foodpanda shutting down in Thailand as part of its ew focus on markets within the Asia-Pacific region that offer greater returns.
Negotiations to sell Foodpanda’s operations in Thailand, Singapore, Malaysia, the Philippines and other countries had been ongoing since September 2023.
Potential buyers reportedly included Singapore-based Grab Holdings and China’s Meituan. However, Delivery Hero confirmed on Feb. 21 that talks had ended without reaching an agreement.
“The decision to terminate negotiations after months of discussions was taken after careful consideration,” said Niklas Östberg, CEO and co-founder of Delivery Hero. He noted that the Asia-Pacific region remains well-positioned for profitable growth.
Foodpanda Shutting Down Only in Thailand
Despite Foodpanda shutting down its Thai platform, Delivery Hero stated that its regional team based in Thailand will continue regular operations.
The decision about Foodpanda shutting down in the Thai market comes amid a challenging environment for food delivery services in Southeast Asia.
According to Kasikorn Research Center, the food delivery market in Thailand contracted by 1% year-on-year in 2024, with an estimated value of 86 billion baht. Among major players, only Grab reported profitability for two consecutive years.
In 2023, Foodpanda’s revenue in Thailand increased slightly to 3.8 billion baht, but the company still posted a loss of 522 million baht. This marked an improvement from a loss of 3.255 billion baht in 2022. Delivery Hero’s decision to withdraw from Thailand reflects its broader strategy to optimize its international presence and resource allocation based on performance and growth potential.
Acclaimed Bangkok live-music venue Smalls will celebrate International Jazz Day April 30 with a three-band music fest showing off the best Thailand’s young jazz...
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