FreshDirect May Go Under as Parent Getir Looks to Cut Costs: ‘Don’t See How it Lasts Longer Than a Year’
April 25, 2024 | 1 min to read
FreshDirect, the food delivery company, may face closure as its parent company, Getir, seeks to sell it just six months after acquisition due to financial losses. The Turkish delivery service has been under pressure from investors like Mubadala Investment Co., Tiger Global, and Sequoia Capital to reduce costs, facing losses of up to $50 million monthly, as reported by Bloomberg.
Food delivery pioneer FreshDirect may be nearing its expiration date as money-bleeding parent Getir looks to dump the Big Apple grocer — just six months after buying the company, The Post has learned.
Turkish-based Getir, which scooped up FreshDirect from Stop & Shop owner Ahold Delhaize USA last November, has come under pressure to cut costs from its investors, which include Abu Dhabi sovereign wealth fund Mubadala Investment Co., Tiger Global and Sequoia Capital, according to a Sky News report.
Getir — a delivery service that operates in select US markets as well as in the UK, the Netherlands and Germany — is burning through as much as $50 million a month, according to a Bloomberg report.
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