Hong Kong-based Lalamove is shutting down LalaFood, its food delivery business in the Philippines;
Lalamove shuts food delivery business in Philippines
LalaFood, launched in 2018, is Lalamove’s incubation project that explored the food delivery sector. Lalamove said it will focus entirely on its core delivery business.
“While as a company we have learnt a great deal from Lalafood, a decision has been made to redirect our focus entirely on our core Lalamove delivery business,” the firm said in a statement Monday.
Despite the scheduled closure of LalaFood, Lalamove expects 2021 to continue to be another strong year for the company in the Philippines. In fact, the firm said its expansion in Manila and the province of Pampanga is taking place this month.
“We are committed to strengthening our investment in the Philippines to better serve our customers and provide more opportunities for our driver-partners and employee,” it added.
Revenue in the online food delivery segment in the Philippines is projected to reach $312 million this year, according to data from Statista. Lalamove, however, is well known as an on-demand delivery firm than a food delivery provider in the Philippines and LalaFood is competing with FoodPanda and GrabFood, which are popular across the country.
Northstar ties up with Google Indonesia to help portfolio firms
Southeast Asia-focused private equity firm Northstar Group has tied up with Google Indonesia to launch a 2021 Joint Business Plan to facilitate the exchange of expertise, insights, and experience, to accelerate the development of the digital economy in the Southeast Asian region.
Tan Choon Hong, co-chief investment officer of Northstar Group said that COVID-19 has shifted the way people adopt digital services in Indonesia, which is expected to spur growth and innovation in the technology sector.
“With support from a strong ally like Google, we aim to better equip our portfolio companies to keep up with the rapidly changing landscape,” Hong said in the statement.
According to the 2020 SEA eConomy Report, Indonesia’s digital economy is already at $44 billion and is expected to grow to $124 billion by 2025.
“We want to continue to support this digital transformation in partnership with key stakeholders and to help nurture the digital community through initiatives like Google for Startups. It is a privilege for us to work together with the well-respected Northstar Group and to support their portfolio companies with platforms like Google Ads and Google Cloud,” Randy Jusuf, managing director of Google Indonesia said.
Both Northstar Group and Google are investors in the Indonesian ride-hailing giant Gojek.