Getir withdraws from European, US markets
TURKISH fast delivery company Getir announced officially yesterday it was withdrawing from its European and U.S. markets to focus on the main Turkish market, confirming earlier media reports indicating the startup was evaluating asset disposals and pulling out from certain markets.
According to the statement made by the company, it decided to leave the markets in the U.K., Germany, the Netherlands and the U.S. FreshDirect, Getir’s subsidiary in the U.S. is however, set to continue its operations.
Getir said it generates 7% of its revenues from the markets it will exit from, and stated that it will focus on Türkiye, its main market where it sees the greatest potential for long-term sustainable growth.
Last week Reuters reported Getir was purportedly considering the sale of online shopping platform n11 among options in discussions with investors on a new road map, two sources close to the matter said. The earlier reports indicated it was also considering the sale of the BiTaksi app in Türkiye.
German media also reported that Getir was close to withdrawing from Germany, a year and a half after it bought rival Gorillas in a deal worth $1.2 billion. Some media reports said the company is expected to start the withdrawal from the country in May.
In a statement yesterday, Getir also said it had secured new financing from Mubadala and G Squared, adding that it would use the funds to increase competitiveness in Türkiye.
Founded in 2015 in Istanbul, the firm offers restaurant courier services and on-demand grocery deliveries via a mobile app.
Getir, which means “bring” in Turkish, was valued at $11.8 billion when it raised more than $750 million in a funding round in early 2022.
It grew rapidly during the COVID-19 pandemic, attracting high-profile investors as it established operations across Western Europe and the United States.
However, as the pandemic ended and people returned to physical shopping, high profit margins dropped, making it harder to meet costs arising from investments in these markets.