Grab Holdings announced it will acquire Delivery Hero’s foodpanda delivery business in Taiwan for $600 million in cash, the company said on Monday. The transaction represents Grab’s initial expansion outside Southeast Asia and is structured as an all-cash, debt-free deal.
The purchase price equates to 0.33 times foodpanda Taiwan’s 2025 gross merchandise value (GMV) and is slated to close in the second half of 2026, subject to regulatory approval. Grab indicated the acquisition is accretive to its 2026 revenue guidance of $4.04 billion to $4.10 billion, and it reaffirmed its 2026 adjusted EBITDA guidance of $700 million to $720 million.
Management expects foodpanda Taiwan to deliver at least $60 million in incremental adjusted EBITDA by 2028, set against a three-year group EBITDA target of $1.5 billion. Grab also signaled that integration-related expenses will be concentrated in 2026 and 2027, and that the Taiwan business is expected to become profitable by the end of 2027. A full migration of the foodpanda Taiwan platform into the Grab app is targeted by early 2027, with a longer-term deliveries margin goal above 4% in Taiwan.
Contextual details highlighted in market commentary underline both the strategic appeal and the operational work ahead. The $600 million price tag is more than 30% below the $950 million offer made by Uber Technologies for the same asset in 2024, an offer that regulators blocked; Uber subsequently received a $250 million termination fee.
Analyst reactions were generally supportive while noting caveats. Jefferies, which carries a buy rating and a $6.70 price target, described the move as unexpected by the market but said the deal provides Grab an opportunity to replicate its delivery execution from Southeast Asia in Taiwan. Jefferies projects Grab’s adjusted EBITDA will reach $700 million in 2026 and $1.01 billion in 2027.
Barclays, with an overweight rating and a $7 price target, estimated that foodpanda Taiwan and Uber Eats split the local market roughly evenly. That note also referenced Taiwan’s economic expansion - growth in 2025 tied to AI and semiconductor demand and a central bank upward revision of 2026 GDP projections - as part of the backdrop for the market opportunity.
Morgan Stanley, which rates Delivery Hero overweight with a €24 price target, observed that current share price levels do not ascribe any value to the Taiwan business, making the proceeds from the sale wholly incremental. The firm’s previous bull-case valuation for the asset was €0.9 billion.
On an operating basis, foodpanda Taiwan reported $1.8 billion in GMV across 21 cities in 2025 and was profitable on an adjusted EBITDA basis before allocation of Delivery Hero’s group-level costs. Subscription engagement is notable: one-third of users held pandapro subscriptions, and that cohort accounted for more than 50% of total GMV.
Grab emphasized that the cost of integrating the business will be front-loaded over 2026 and 2027, with the company expecting the Taiwan unit to move into profitability by the end of 2027. The timetable also sets full platform migration to the Grab app by early 2027 and a target deliveries margin above 4% in Taiwan over the longer term.
This transaction places several short-term pressures on profits while offering incremental revenue and a path to EBITDA contribution in subsequent years. Observers will be watching execution on integration, the timing of cost recognition, and the realization of revenue synergies that underpin the company’s stated EBITDA trajectory.