Berlin-born global food delivery service Foodpanda heads to tiny but vacant markets of Eastern Europe, with new $20 million of funding from Phenomen Ventures in its pocket. The company, along with its affiliate hellofood, will be launching services in Eastern EU members like Croatia, Bulgaria, Serbia and Slovenia as well as distant markets that include Kazakhstan, Azerbaijan, Tanzania, and Uganda.
Incubated by Rocket Internet of Germany in 2012, Foodpanda/Hellofood is currently operating in 35 countries across five continents, in partnership with more than 22,000 restaurants. With the new investment it is aiming to continue its global ambitions and roll out to over 40 markets by the end of Q1.
Last year, Foodpanda got more than $20 million funding from Phenomen Ventures and Investment AB Kinnevik as well as $8 million from iMENA Holdings towards the end of 2013. Almost simultaneously, it has expanded into 20 more countries and launched a mobile app for iOS and Android.
Ralf Wenzel, Co-Founder and Global Managing Director Foodpanda/Hellofood claims that the company is now the most globally prominent online marketplace for food delivery. Apart from growth into new markets, they will push the expansion within existing markets, Wenzel said in an official press release. With the latest funding, the total investment raised by the company has reached $48 million.
The news on the latest investment came just 3 weeks after Delivery Hero, another Berlin-based food order service and Foodpanda’s major rival, announced the closure of an handsome $88 million funding by Insight Venture Partners.