The merger process that was started early May – operating under the ShopWings brand – is designed to further accelerate the shift from offline to online grocery shopping, operating in Sydney, Brisbane and Melbourne.
Shopwings and Grocery Butler said that there is a huge market opportunity in offering virtual grocery stores.Both companies foresee industry revenues to grow by more than 15 per cent per annum in the coming years.
Australia-based startup accelerator BlueChilli will support the ShopWings merger. It remains a part of the Asia Pacific Internet Group (APACIG), the joint venture between Oreedo and Rocket Internet.
The merger’s management team will be headed by current ShopWings COO Guillaume Ang who will later become the CEO of the joined entity, while Grocery Butler CEO Michael Parthenides will lead Melbourne operations.
Manutea Dupont, the present managing director for ShopWings will remain on the entity’s board of director along with Michael Parthenides.
The merger is expected to create synergies in technology, an enhanced logistics network, an increased client base of more than 15,000 and complementary geographical footprint.
“The merger accelerates the pace at which we will reach our current 18 month objectives. Their tech-focussed team and brilliant technology stack are a perfect match for Grocery Butler,” Parthenides said. “We bring to the table our diverse customer base, more than 80 personal shoppers, a complimentary geographical footprint and a capital-efficient approach to business.”
Dupont, meanwhile, believes the merger will help ShopWings strengthen its geographical footprint.
“We will continue to focus on our unique offerings such as ALDI and Coles in the same order or same day IKEA delivery,” Dupont said.
“We are convinced of the strategic benefits of the alliance between ShopWings and Grocery Butler, forming a strong market leader with an impressive track record in technology, operations and sales,” Ang said.