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The EU has fined European takeaway groups Delivery Hero and Glovo €329mn for taking part in an “online food delivery cartel”, in the latest antitrust crackdown by the bloc.
German food delivery service Delivery Hero acquired Glovo, a Spain-based online food delivery app, in 2022. On Monday, the European Commission said the two groups had breached competition rules in the four years leading up to that, when Delivery Hero only held a minority share in Glovo.
Brussels said Delivery Hero had used its minority stake in Glovo to co-ordinate with it, with the two agreeing not to poach each other’s employees, and exchanging trade secrets.
The commission said the companies had also agreed which locations each would trade in, removing overlaps, adding that such co-ordination reduced choice and increased prices for consumers. The probe was first announced in July 2024.
The fine is the first time that Brussels has penalised companies for the anti-competitive use of a minority share in a rival business. It is also the first instance in which it has punished groups for a “no-poach” agreement, in which groups agree not to take each other’s workers.
The EU’s competition chief Teresa Ribera said the case was “important” because of the way the practices were “facilitated through an anti-competitive use of Delivery Hero’s minority stake in Glovo”.
Both companies admitted their involvement in the cartel and agreed to settle the case. Delivery Hero will pay €223mn in fines and Glovo will pay €106mn.