Deliveroo is set to leave the Hong Kong market on Apr. 7 after nine years, with the city’s economy affecting the future outlook of the business.
Users will be able to access the app for another four weeks before the company bows out of Hong Kong. At its height, the company worked with over 10,000 restaurants and riders, according to Deliveroo Hong Kong general manager Nick Price in January 2024.
Reports state that the Hong Kong food-delivery platform is making a loss, accounting for approximately 5% of overall transactions in the global business.
In a press statement released to the public, a spokesperson for Deliveroo says, “There are several dynamics specific to the Hong Kong market which led the Board to consider strategic options and, given the Group’s commitment to disciplined capital allocation, determine that it would not serve shareholders’ best interests to continue to operate in Hong Kong.”
The remainder of Deliveroo’s Hong Kong assets will be liquidated and sold to foodpanda.
Deliveroo Hong Kong’s imminent exit follows the company’s abrupt departure from Taiwan in early 2020 and Australia in late 2022.
