FACT CHECK: Did Uber buy Glovo after exiting Nigeria?

On September 5, Tope Fasua, presidential spokesperson, said Uber, the global ride-hailing company, bought Glovo, the delivery and quick-commerce company, for $16.9 billion after exiting Nigeria.

Fasua was responding to questions on what ordinary Nigerians should be able to afford today compared with 2023, and the economic promise of President Bola Tinubu’s administration ahead of the 2027 elections.

Speaking in an interview with Arise TV, he acknowledged that some reforms had disrupted businesses, but noted that many Nigerians were adapting, citing traders who had moved their businesses online as an example.

Speaking on online food delivery, Fasua further referred to Glovo as a Nigerian company.

“When Uber was leaving Nigeria, they went and bought Glovo. Glovo, a Nigerian company that is into food delivery and all that kind of delivery. They bought that company for $16.9 billion,” he said.

Furthermore, Fasua said: “We can see the value in this country”, adding that “Glovo is probably making most of its money here…”.

On September 2, Uber shut down its ride-hailing operations in Nigeria, exiting the country after 12 years of operations.

The company also announced plans to exit Uganda.

IS GLOVO A NIGERIAN COMPANY?

According to information on Glovo’s website, it is a Spanish tech company, headquartered in Barcelona, Spain.

“We’re a Spanish tech company and the fastest-growing multi-category player in Europe, Central Asia, and Africa, spread across 21 countries,” the information on the website says.

In Africa, Glovo operates in six countries, including Nigeria, Kenya, Côte d’Ivoire, Uganda, Morocco, and Tunisia.

Therefore, while Glovo operates in Nigeria, it is not a Nigerian company. Its Nigerian operations are part of the wider Glovo business headquartered in Spain.

However, Delivery Hero, its parent company, has its headquarters in Berlin, Germany.

DID UBER ACQUIRE GLOVO AFTER ITS EXIT FROM NIGERIA?

On July 16, Uber announced an offer to acquire Delivery Hero, the German company, at an equity value of $14.8 billion.

International media, including Bloomberg and Reuters, reported the proposed transaction before Uber ended its ride-hailing operations in Nigeria.

Under the proposed deal, Uber said it would acquire Delivery Hero’s operations in 50 markets, including Glovo’s business in Nigeria.

On August 27, Uber published the offer document for the proposed transaction. The acceptance period runs until November 5, 2026, while completion of the transaction is expected in the second half of 2027.

“Delivery Hero shareholders wishing to accept the Offer should contact their respective custodian bank to tender their shares and should be aware that custodian banks may set earlier internal deadlines that require action before November 5, 2026,” Uber said.

“The settlement of the Offer, including payment of the cash consideration, is expected in the second half of 2027.”

This means Uber had announced a proposed acquisition of Delivery Hero before leaving Nigeria, but had not completed the transaction when it exited the country.

Additionally, the $16.9 billion figure cited by Fasua does not correspond with the $14.8 billion equity value Uber announced for the proposed acquisition of Delivery Hero.

VERDICT

Uber announced its proposed acquisition of Delivery Hero on July 16, weeks before it discontinued its ride-hailing operations in Nigeria on September 2.

The transaction has not been completed and is expected to close in the second half of 2027, subject to the relevant conditions.

In addition, Uber is not directly buying Glovo as a standalone company. Glovo Nigeria is one of the markets covered by the proposed acquisition.

Therefore, Fasua’s claim that Uber bought Glovo after leaving Nigeria is incorrect.

His description of Glovo as a Nigerian company and the $16.9 billion purchase figure are also incorrect.
(TheCable)