- For some time now, we have had the impression that dark clouds have been gathering over the Glovo Platform. Let’s try to summarize what we know:
- Glovo is a brand belonging to the Delivery Hero corporation. The corporation currently operates in over 70 countries under brands such as Foodora, Food Panda, foody, efood.gr, Instashop, Hungerstation and Yemeksepeti.
- Delivery Hero bought Glovo two years ago for EUR 2.3 billion.
- Delivery Hero shares in 2021 cost over EUR 137 at the peak. Now they cost just over 31 euros.
- Glovo closed 2022 with a loss of EUR 412 million, and planned to end 2023 with a loss of EUR 209 million.
- The entire last autumn and winter was a series of powerful blows for Glovo. Courts in Spain ordered the platform to pay a total of over 64 million due to violations of workers’ rights.
- Additionally, in November 2023, Glovo announced that it was closing the Technology Center in Warsaw.
- In January 2024, the Spanish court admits: the payment of such high amounts will result in the bankruptcy of the company – and suspends the execution of the judgments.
- Since February this year, Glovo has been hit by a wave of strikes: Austria, Great Britain, France, Poland, Turkey…
- And just a few days ago, the shareholders of Delivery Hero learned that almost 4% of shares in this company were taken over by the Sachem Head investment fund, which is famous for the fact that wherever it invests, it immediately arranges everything in its own way. Delivery shares temporarily rose 14%.
Ok, but does it actually do anything to us? Will it change anything for us? I don’t think so. Almost certainly not. We will still not know whether and how much we will earn, we will still be only a “human factor” for the Platform’s algorithm