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Meituan, number one in the Chinese food delivery business (approx. Learn more
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Top news

Meituan, number one in the Chinese food delivery business (approx. 70%) plans to expand to the Brazilian market. The company aims to introduce its service under the international Keeta brand name in Brazil over the coming months and to invest one billion US dollars in the South American country over the next five years. An agreement to that effect was signed last week in the presence of Brazilian President Lula da Silva.

Investors showed little enthusiasm for the project. Following the announcement the shares of the Hong Kong-quoted company fell by up to 9.9 per cent and staged only a slight recovery by the copy deadline.

Meituan’s announcement makes it increasingly clear that competition on the Brazilian delivery business market has intensified hugely. Rappi, one of Latin America’s most successful food delivery services (CEP News 15/24) has also announced further investments in Brazil. The company aims to spend the equivalent of more than 219m euros to double the number of partners and exempt restaurants from taxes.

And in April, the Chinese ride-hailing and delivery service Didi Chuxing (Didi) announced its intention to revive its food delivery service in Brazil under the 99Food brand (CEP News 15/25). This revival forms part of the investment of 1bn real, equivalent to approx. 157m euros, which the Chinese company is planning to make in Brazil to widen its business activities there.

 

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Top News

Meituan, number one in the Chinese food delivery business (approx. 70%) plans to expand to the Brazilian market. The company aims to introduce its service under the international Keeta brand name in Brazil over the coming months and to invest one billion US dollars in the South American country over the next five years. An agreement to that effect was signed last week in the presence of Brazilian President Lula da Silva.

Investors showed little enthusiasm for the project. Following the announcement the shares of the Hong Kong-quoted company fell by up to 9.9 per cent and staged only a slight recovery by the copy deadline.

Meituan’s announcement makes it increasingly clear that competition on the Brazilian delivery business market has intensified hugely. Rappi, one of Latin America’s most successful food delivery services (CEP News 15/24) has also announced further investments in Brazil. The company aims to spend the equivalent of more than 219m euros to double the number of partners and exempt restaurants from taxes.

And in April, the Chinese ride-hailing and delivery service Didi Chuxing (Didi) announced its intention to revive its food delivery service in Brazil under the 99Food brand (CEP News 15/25). This revival forms part of the investment of 1bn real, equivalent to approx. 157m euros, which the Chinese company is planning to make in Brazil to widen its business activities there.

 

Learn more? View subscription options

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