Germany’s Delivery Hero an online food ordering and delivery marketplace, is selling its foodpanda India business to Ola in return for shares in the Indian ride-hailing firm.
The deal marks Ola’s return to the food delivery business, which it exited in 2016, according to local media reports, and will give the company a platform to compete with UberEATS, a similar service launched in May by global ride-hailing rival Uber Technologies.
Under the agreement, Ola, owned by ANI Technologies, will also commit to investing $200 million in foodpanda’s India business.
Delivery Hero, had acquired food delivery firm foodpanda and its Indian subsidiary in December 2016.