Technology

10-minute grocery start-up Getir buys British rival Weezy

10-minute-grocery-start-up-getir-buys-british-rival-weezy

A delivery driver from the Turkish delivery service “Getir” rides his bicycle.

Michael Kappeler | Image Alliance | Getty Images

LONDON – Turkish startup Getir agreed to acquire UK rival Weezy on Tuesday, the latest sign of consolidation in the ultra-fast grocery delivery market.

Istanbul-based Getir, which aims to get essential items to people’s doors in just 10 minutes, said it is buying Weezy to continue expanding in the UK

The company currently operates in 15 cities across the country, including London, Manchester, Birmingham and Liverpool.

Founded just two years ago by Kristof Van Beveren and Alec Dent, Weezy saw breakneck growth during the coronavirus pandemic as more people went online to shop for their groceries.

It now has over 700 employees, including the company’s delivery drivers. Unlike gig economy companies that hire contractors with flexible work arrangements, Weezy treats its couriers like employees.

Together with Getir, the newly merged company will employ more than 4,000 people worldwide.

Financial terms of the transaction were not disclosed.

“Working with Weezy, which has quickly established itself across the UK, is an exciting opportunity and one that complements our people-centric approach and our approach to business,” said Turancan Salur, Getir’s UK General Manager, in a statement on Tuesday.

Europe is home to a thriving online grocery sector that has seen a wave of challengers trying to take on established supermarket chains and convenience stores.

People like Getir and other players like Germany’s Gorillas and Great Britain’s Zapp have attracted customers with the promise of faster delivery times and generous discounts. Their wild growth has drawn a lot of interest from venture capitalists lately.

A privately held company, Getir was last valued at $ 7.75 billion after raising $ 550 million in funding from investors such as Silver Lake, Mubadala, Sequoia and Tiger Global. To date, more than $ 1 billion has been raised.

Ahead of the acquisition news, Weezy had raised over $ 25 million from venture capital firms including Heartcore Capital and Left Lane Capital.

A number of other deals followed in this area, from the takeover of the British companies Dija and Fancy by the American food start-up Gopuff to the purchase of a minority stake in Gorillas by the German food giant Delivery Hero.

Analysts say the fast food delivery market is entering a phase of consolidation as the multitude of different vendors struggle to differentiate their offerings.

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