Saudi Arabian quick commerce firm Ninja is reportedly considering an offer for some of Delivery Hero's Middle Eastern assets. This strategic move could significantly complicate Uber's reported plans to acquire the German food delivery giant. The potential bid underscores the escalating competition within the region's rapidly evolving delivery market.
Strategic Acquisition Targets
Ninja's potential acquisition options include HungerStation, Delivery Hero's Saudi Arabian subsidiary, and a possible partnership for parts of the Dubai-based Talabat platform. The company is expected to initially focus on HungerStation due to its relatively straightforward integration and fewer regulatory hurdles. Sources indicate that while discussions are preliminary, a proposal could soon be presented to Delivery Hero's board.
A Shifting Competitive Landscape
This development comes as the Middle East emerges as a key battleground for global delivery companies seeking new avenues for growth. International firms are increasingly turning to the region after facing challenges in markets like China and Southeast Asia. These established Asian markets are heavily dominated by powerful local incumbents, limiting expansion opportunities.
A successful bid by Ninja for these assets could weaken Uber's position in its attempt to purchase Delivery Hero outright. Other major players are also monitoring the situation, with reports suggesting DoorDash has shown interest in the same assets. Meanwhile, major shareholder Prosus is reportedly considering increasing its stake to thwart a potential Uber takeover.
Valuation and Market Dynamics
The strategic value of these assets is underscored by estimates suggesting their combined worth in the Middle East and Korea may exceed Delivery Hero's total market capitalization. Some analysts close to the matter believe a sum-of-the-parts valuation for the company could surpass €17 billion. This high valuation reflects the significant growth potential and market leadership these brands command in the region.
For context, Delivery Hero's subsidiary Talabat currently holds a market capitalization of approximately $8 billion following its initial public offering. However, the company's stock has declined by about one-fifth since its listing on the Dubai Financial Market. This performance has reportedly tempered enthusiasm for new public offerings within the Dubai market.
Ninja's Unique Position and Growth
Ninja operates on a distinct business model compared to the food-centric platforms of Talabat and HungerStation. The Saudi company leverages a network of "dark stores" designed specifically for fulfilling online orders. Its primary focus is on the rapid delivery of groceries and household products rather than traditional restaurant meal delivery.
Founded in 2022, Ninja achieved unicorn status with a valuation exceeding $1 billion just three years after its launch. The company's leadership possesses deep industry experience, with one co-founder having previously helped establish HungerStation. Another founder has a background with both Delivery Hero and Gorillas, which was acquired by Getir.
Ninja's potential acquisition bid marks a pivotal moment for the Middle East's competitive delivery landscape, signaling a new phase of strategic consolidation. While the deal remains speculative and both Ninja and Delivery Hero have declined to comment, the move highlights the intense regional competition. The outcome of these discussions will undoubtedly influence the future trajectory of the delivery industry across the region.