Online food ordering service notifies partners of intention to close.
After three years in Vietnam, Foodpanda, the operator of the www.foodpanda.vn website, has closed down its operations in the country.
Foodpanda informed its restaurant partners by notice that it was closing down due to its financial situation and the range of difficulties it faces.
“Vietnam is considered a market of potential for Foodpanda with significant development in online food ordering compared to other markets the company operates in,” a company representative said. “However, due to the economic crisis and problems relating to investor funding, we must officially close our operations in Vietnam and other markets.”
Signed by Country General Director Truong Duy Linh, the notice said that five days following the announcement the company would cease all business activities in the country, primarily its website.
Foodpanda is a global online food ordering service that entered Vietnam in 2012 after establishing itself in over 40 countries worldwide. It is connected to more than 1,000 restaurants in Vietnam, including well-known brands such as Baskin Robbins, Burger King, Al Fresco’s, and KFC. Previously, in May, it received an additional part of an investment package worth $110 million, including a sum from a new investor, Goldman Sachs. Existing investors, including Rocket Internet, also contributed to the package.