Alibaba Considers Gobbling Up Food Delivery Giant
Alibaba Group Holding Ltd. is considering buying the remaining stake of food delivery company Ele.me, a source familiar with the matter told Caixin, as the e-commerce giant has helped the smaller firm become the top player in the business.
An Alibaba spokesperson had no comment on the deal.
Alibaba is already a large stakeholder of Ele.me, which obtained a $1.25 billion investment from the e-commerce group and its fintech affiliate Ant Financial Services Group in 2016. In April, the consortium increased its investment in Ele.me by $400 million.
Ele.me has become the country’s largest food delivery service after it acquired the food delivery arm of internet search firm Baidu Inc. in August 2017, leaving the takeout market with only two main contenders — Alibaba-funded Ele.me and Meituan Dianping, which is backed by Tencent Holdings Ltd.
Alibaba also offered support for the Ele.me-Baidu Deliveries merger.
After the Baidu deal, Ele.me held 55.3% of the market in the fourth quarter of 2017, followed by the food delivery division of Meituan Dianping, which had a market share of 41.3%, according to market data and research firm iiMedia Research.
Contact reporter Coco Feng (email@example.com)
Jun 06 01:34
Jun 05 23:57
Jun 05 17:06
Jun 05 13:20
Jun 04 17:45
Jun 04 17:19
Jun 04 16:26
Jun 04 12:38
Jun 03 18:07
Jun 03 16:48
Jun 03 13:17
Jun 03 12:25
Jun 03 06:45
Jun 02 16:29
Jun 02 14:45
- 1Update: China to Allow Banned Foreign Airlines to Resume Some Flights
- 2Luckin Founder to Cash Out of Rental Car Unit
- 3Fighting Coronavirus: Policy Analysis and Practical Experiences
- 4In Depth: Huawei Has a Sanction-Proof Pile of Processors, but They Won’t Last Long
- 5TSMC Looks Homeward for New $10 Billion Chip Plant
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas