Foodora enters voluntary administration
While parent company Delivery Hero SE initially intended to wind down Foodora’s affairs in Australia in an “orderly fashion”, the decision has been made for the delivery service to instead enter voluntary administration.
Simon Cathro and Ivan Glavas of Worrells Solvency and Forensic Accountants have been appointed as administrators, effective immediately.
This process will offer Foodora essential breathing space, according to a media release revealing the decision, including a statutory moratorium on claims against it with the intention of creating a better return for creditors than would result from immediate liquidation.
“Foodora wishes to acknowledge the support of its employees, partner restaurants and contract riders over the last three years,” the release said.
“To the best of its knowledge, all payments due to Foodora’s creditors, in particular, its employees, partner restaurants and contract riders, have been met.”
Earlier this month it was announced the company would be ceasing operations in Australia by August 20.
The decision came amid talk of industry regulation, and growing competition, though the delivery service noted it had decided to concentrate on other markets where it sees a higher potential for growth.
Foodora also operates in Austria, Canada, France, Germany, Italy, the Netherlands, Norway and Sweden.
The conversion of Target stores to Kmarts has begun. At the end of July, Kmart unveiled a new format - K Hub - on t… https://t.co/kzvBhsGdhX3 hours ago
The ACCC will allow members of the ARA and NRA to collectively negotiate rents until September 2021. Retail leaders… https://t.co/ztCqWR6SN04 hours ago