The transaction will close in the first half of 2025.

Uber and Delivery Hero have also reached a separate arrangement in which Uber will acquire $300m worth of freshly issued common shares from Delivery Hero.

Delivery Hero will continue to operate foodpanda Taiwan. Post-acquisition, foodpanda's local consumers, merchants and delivery partners will be integrated into the Uber Eats platform.

The acquisition will leverage Uber's global marketplace efficiency and foodpanda's extensive local network in Taiwan.

The combined strengths of Uber Eats and foodpanda will offer comprehensive coverage across Taiwan, with Uber's dominance in northern regions and major cities complemented by foodpanda's strong presence in the south and smaller cities.

The deal will result in increased orders for merchants and more earning opportunities for delivery partners.

The acquisition will become one of Taiwan's largest international deals outside the semiconductor sector.

Delivery Hero co-founder and CEO Niklas Östberg stated: “The strength of our Taiwanese business is a testament to the hard work of many teams over the last eight years.

“In order to build a world-leading service, we need to focus our resources on other parts of our global footprint, where we feel we can have the largest impact on customers, vendors and riders.

“This deal gives foodpanda an exciting runway in Taiwan and we wish them all the best in their next chapter.”

Uber Delivery senior vice-president Pierre-Dimitri Gore-Coty said: “Bringing together our distinct customer bases, merchant selections and geographic footprints will allow us to deliver more choices and the best prices for consumers, stronger demand for restaurants, and more earnings opportunities for delivery partners.

“Taiwan is a fiercely competitive market, where online food delivery platforms today still represent just a small part of the food delivery landscape. We’re so excited about the opportunity to deliver even greater convenience and value that this transaction would unlock in the years ahead.”