EU antitrust regulators have carried out further raids on two online food delivery companies based in the European Union. While the companies involved have not been named by the Commission, these inspections are a continuation of the investigation that began in 2022. In July of that year, unannounced inspections took place at the offices of Spain’s Glovo and Germany’s Delivery Hero, and the two companies confirmed the inspections.
Key Takeaway
EU antitrust regulators have expanded their investigation into potential cartel activities in the food delivery industry. The scope of the probe now includes allegations of no-poach agreements and information exchanges.
The initial concern behind the investigation was potential breaches of competition laws related to cartel formation and other restrictive business practices. However, the scope of the probe has now been expanded to include alleged no-poach agreements and exchanges of commercially sensitive information. This widening of the investigation was announced in a recent press release by the Commission.
Delivery Hero is a Berlin-based company founded in 2011, operating in over 70 countries worldwide under various food delivery and quick-commerce brands. In 2021, it acquired Glovo, a Barcelona-based delivery app and q-commerce platform focused on food delivery. Both companies have been contacted for comment regarding the recent inspections.
It’s important to note that these inspections are considered a preliminary step in investigating suspected anticompetitive practices. The Commission emphasizes that the occurrence of inspections does not indicate guilt or pre-judge the investigation’s outcome. The investigation is ongoing, and there is no fixed timeline for its completion.
Under the EU’s leniency program, companies that cooperate with cartel investigations can benefit from certain leniency measures. Additionally, the EU provides a whistle-blower tool for reporting antitrust violations anonymously.
