The Taiwan Fair Trade Commission (FTC) has blocked Uber’s $950m acquisition of Delivery Hero’s Foodpanda operations due to concerns over anti-competitive effects in the market. The regulator cited that corrective measures would not be enough to address competition issues, particularly in eliminating pressure from Foodpanda.
According to FTC vice-chairman Chen Chih-min, the merger would result in UberEats dominating the Taiwanese food delivery platform market with a combined 90% market share post-merger. This, he warned, could lead to higher prices for consumers and increased commissions for restaurant operators.
The FTC’s decision marks a significant setback for Uber’s planned expansion into Taiwan’s food delivery market. The company had agreed to purchase Foodpanda’s operations in May this year for $950m, with plans to integrate customers, merchants, and delivery partners into the UberEats platform.
Source: https://finance.yahoo.com/news/taiwan-ftc-halts-uber-foodpanda-124755715.html