Retail

Malaysian food delivery startup dahmakan acquires Thai competitor

Malaysian food-delivery startup Dahmakan, which raised US$2.6 million early this year, has acquired Bangkok-based competitor Polpa for an undisclosed amount.

Dahmakan co-founder Jessica Li says Polpa has been integrated into the brand. The Thai startup’s founders, Dr Julian Timings and Prongfa Uennatornaranggoon, have joined Dahmakan’s executive team.

“This will be the first of our three-city expansion in Southeast Asia this year, with Jakarta and Hong Kong slated for the third and fourth quarters.

Dahmakan says demand for online food delivery in Southeast Asia grew 20-fold last year, with online spending projected to quadruple by 2025.

CEO/co-founder Jonathan Weins says getting into Bangkok, the third-largest city in Southeast Asia, was strategic. “Bangkok has millions of office workers, high urban density and a lack of convenient food-delivery options that makes it an attractive market.”

According to research firm Euromonitor International, Thailand’s online food-ordering market is on track to hit THB31.7 billion (about $1 billion) this year.

Established in 2014, Polpa claims to be among the market leaders for healthy food delivery in Bangkok.

Since launching in 2015, Dahmakan has raised more than $4 million in venture capital funding. It distinguishes itself from rivals – including Deliveroo, Foodpanda and UberEats – by delivering meals prepared in-house instead of picking up from restaurants and stalls.

Meanwhile, Delivery Hero’s Foodpanda projects a surge in demand this year as competition intensifies.

Thailand CEO Alexander Felde says he expects Foodpanda deliveries to roughly double this year to 16,000 a day.

Source: Retail Asia