Express delivery service Getir is considering exiting both the Dutch and Italian markets, according to Handelsblatt. Getil has suffered heavy losses and the company hopes to attract additional investment from financial institutions backed by cost-cutting, a person familiar with the matter, who asked not to be named, told the German business newspaper.Mr. Getill declined to comment. Handelsblatt.
Getil, headquartered in Istanbul, Turkey, acquired German rival Gorillaz earlier this year. The company has already pulled out of Spain, Portugal and France.
If the company also exits the Netherlands and Italy, it will essentially remain active in four markets. According to Handelsblatt, these include the domestic market of Turkey, as well as the UK, US and Germany.
The newspaper reported that Getill spends between $80 million and $100 million each month. The company now hopes to raise additional funds to continue its activities. Getill’s biggest lender is Mubadala Investment Company, a sovereign wealth fund in Abu Dhabi.
The paper cited Pitchbook data showing that Getir has raised $2.3 billion in venture capital since its inception. Management is currently seeking a $500 million injection, but would settle for $250 million if offered.
Super fast grocery delivery has grown a lot as a business during the coronavirus pandemic. But now, the uncertain economic outlook and high inflation are cooling the market sharply. This has led consumers to tighten their purse strings.
To further reduce costs, Getil is experimenting with a franchise model that allows dark stores to be independently owned in Germany, reports Handelsblatt.
https://nltimes.nl/2023/07/13/rapid-grocery-service-getir-pull-netherlands-italy Fast grocery service Getir could pull out of Netherlands and Italy