Delivery Hero denies the sale failed: This is how financial experts react

Delivery Hero denies the sale failed: This is how financial experts react

According to a report by www.finanzen.net, Delivery Hero has denied reports of a failure in the potential sale of its Foodpanda stores in certain markets in Southeast Asia. The company confirmed that negotiations over the potential sale were ongoing and reports of failure were therefore false.

However, the company's share price fell by 22.56 percent to 16.65 euros, which led to a new record low. Traders pointed to a report that a deal to sell the Foodpanda business fell through due to differences in pricing.

Analysts expressed varying opinions on the impact of the sale's possible failure. Jefferies' Giles Thorne expressed surprise, calling the report a disappointment as the deal would have significantly changed Delivery Hero's financial profile. Andrew Ross from Barclays Bank, on the other hand, believes that the balance sheet will remain manageable even without the transaction.

Clement Genelot from Bryan, Garnier & Co commented that a breakdown in negotiations would come as no surprise given the disappointing business performance. However, he believes there could be other interested parties, including the Chinese company Meituan.

The events have left a deep mark on Delivery Hero's market value, whose market value is now only 5.4 billion euros, compared to almost 40 billion euros during the corona pandemic.

Given these developments, we can expect Delivery Hero shares to remain volatile, depending on developments in the sales negotiations and the company's strategy going forward. The market is sensitive to potential company changes and investors should keep a close eye on current developments to make informed investment decisions.