The European Commission announced in a press release on Tuesday an investigation into possible cartel activities by German meal delivery company Delivery Hero.
Delivery Hero acquired Glovo, a Spanish food delivery company, in July 2022, after holding a minority stake in the company since 2018.
The European Union’s top competition watchdog suspects the companies “divided geographic markets and shared commercially sensitive information” before the takeover.
Competition law prohibits companies from colluding in a way that discourages competition.
The commission also said it was concerned “that the companies may have agreed not to poach each other’s workers.”
Competition law also prohibits such activities because they undermine competition between employers in the labour market.
Delivery Hero’s minority stake in Glovo is said to have made this activity possible.
Glovo and Delivery Hero are two of the largest food delivery companies in the EU, according to the bloc’s top competition authority.
An in-depth investigation will take place, but the decision to investigate Delivery Hero will not affect the outcome.
Before the announcement, the commission carried out surprise inspections at Delivery Hero and Glovo in June 2022 and November 2023 to investigate “possible collusion”.
