Uber’s Purchase of Foodpanda Blocked by Taiwanese Regulators

Regulators in Taiwan blocked Uber Technologies’ (UBER) planned $950 million purchase of Singapore-based online food delivery and ordering platform Foodpanda, The Wall Street Journal reported Thursday.

Taiwan’s Fair Trade Commission reportedly said Foodpanda, which is owned by Germany’s Delivery Hero, is Uber’s biggest competitor in Taiwan, and that the merger would create greater disadvantages for competition than economic benefits.

Uber Eats said in a statement it was disappointed with the decision, adding that since agreeing on the acquisition with Delivery Hero, it has “made proposals with multiple conditions attached” to address the commission’s concerns. It argued it believes “this transaction can bring the greatest benefits to our delivery partners, merchant partners, consumers, and Taiwan’s economy.”

Uber had announced it was buying Foodpanda in May, in a deal that would “combine Uber’s global expertise in operating a high-efficiency marketplace with foodpanda’s extensive coverage across Taiwan and its relationships with beloved local brands.”

Uber shares were little changed in intraday trading Thursday following the news.