Menu Group, a UK-registered food delivery company operating in Armenia, Georgia, and Belarus, completes the acquisition of of Eda.ua, its largest competitor in Ukraine, and enters the promising Ukrainian market growing by 20-25% a year.
Strategic acquisition provides Menu Group with access to Eda.ua’s established business operations in Ukraine, which cover 29 cities and unite over 1500 restaurants on a single platform. Founded in 2014, Eda.ua is the largest food-ordering marketplace in Ukraine with over 500,000 of its existing users spreading across 29 different cities. In 2018, the company generated $5.5 million in GMV, and aims to show a 200% growth increase in 2019.
Following the acquisition, Menu Group plans to integrate its own logistics system with Eda.ua and gradually begin to use the Menu.ua platform, offering all other restaurants attractive terms to grow their sales by 10-50%. In the next year, Menu.ua will deliver food in at least 5 Ukrainian cities using a hybrid business model, combining a marketplace and its own delivery chain.
Menu Group has noticed high potential in the Ukrainian market due to its growth rate of 20-25% a year. Demand for food delivery is growing exponentially in Ukraine, powered by the adoption of mobile Internet. Over 60% of the Ukrainian population use mobile Internet and approximately 15-20% of that 25 million place at least one online order each year. Local restaurants have a significant incentive to cooperate with food delivery services; currently they generate up to 20% of sales online, with a potential growth of up to 50%.
“We are excited to have an opportunity to work for the clients in Ukraine. The work that the professional Eda.ua team led by CEO Evgeny Kazantsev is doing on the Ukrainian market is an inspiration for us, and we are thrilled to welcome them to Menu’s winning team.” says Vahan Kerobyan, CEO at Menu Group.
For Menu Group, this deal is a part of strategic expansion in FSU. First launched in Armenia in 2012, the company is now also dominating in Georgia and Belarus. Since the start, Menu Group has raised a modest $6 million in investments from angels and early stage investors, as well as efficiently expanded and then dominating in 4 countries of FSU region ex-Russia. In 2019, the company is aiming for a GMV of $35 million and $10 million in revenue.
About Menu Group
First launched in Armenia in 2012, Menu Group is now a leader among food delivery services in Georgia, Belarus and Ukraine. Menu Group has raised a modest $6 million in investment from SOLventures, Granatus Ventures, Perea Capital Partners, Hayastan 1 and others.
