Talabat fully acquires Instashop from parent company Delivery Hero for USD 32 mn

DFM-listed Talabat acquired 100% of Dubai-based on-demand online grocery delivery platform Instagram in a USD 32 million related-party transaction with its Berlin-based parent company and majority shareholder Delivery Hero as part of a restructuring push, it said in a statement (pdf). Instashop will continue to operate as an independent brand under Talabat’s grocery and retail vertical. The cash-based transaction was financed by Talabat’s internal reserves, with the amount reflecting Instashop’s capital amount rather than its fair value. The company was valued at USD 360 million—USD 270 million paid upfront, with the rest deferred and tied to Instashop’s future performance — when it was bought by Delivery Hero in 2020—making it a favorable acquisition for Talabat’s shareholders. Instashop operates in the UAE and Egypt.