German e-commerce group Rocket Internet agreed to buy Kuwait-based food delivery service Talabat for about 150 million euros ($170 million).
Talabat, operates in Middle Eastern countries including Kuwait, Saudi Arabia, Qatar, Bahrain, Oman and UAE, cooperating with restaurants such as Burger King, KFC and Pizza Hut.
Rocket Internet had limited business in the food space in the Middle East prior to today. Its Hello Food service is active in Saudi Arabia and Jordan, and now the region appears to be a real priority for the Germany-headquartered group.
Rocket Internet CEO Oliver Samwer said:
The online food takeaway sector is currently undergoing tremendous change. With the newly created Global Online Takeaway Group, Rocket Internet is at the forefront of consolidating the key markets in one of the most attractive online sectors. The Middle East is one of the most attractive markets with significant growth potential and highly attractive EBITDA margins.