Getir to acquire rapid delivery rival Gorillas: Here’s why it had to happen

Quick commerce big hitter, Getir, is in advanced talks to buy rival Gorillas, according to a report by Bloomberg.

The proposed deal would be a mix of cash and equity.

The Bloomberg article notes that, “the combination would give Getir, which is backed by Mubadala Investment Co. and Sequoia Capital, scale in key European markets, including the UK and Germany.”

“Gorillas, which last raised funds at a $3 billion valuation a year ago, has been exploring options after investors became more cautious on the money losing industry. Representatives for Getir and Gorillas declined to comment."

The acquisition makes sense, argues Brittain Ladd, a supply chain consultant and former Amazon exec.

In a LinkedIn post, he said: “I can finally announce something I've been aware of for several weeks. Truth be told, Gorillas has spoken to many different companies about being acquired over the last year.”

“However, I am the only analyst who has consistently stated that it would be Getir who would eventually acquire Gorillas. I'm not giving the reason why for this other than to state that revenge is sweet.”

“Note: There is noise that another company may try and step in at the last minute and acquire Gorillas, but I have been unable to verify the accuracy of the story.”

Ladd observed that, although a critic of Gorillas, he has also been very complimentary to Kağan Sümer, the CEO and Founder. “Let me be clear: Sümer, through his vision and ambition, created a new industry - rapid grocery delivery.”

“However, operating successfully in a new industry is challenging and sometimes impossible. Although Sümer successfully raised billions of dollars for Gorillas, he and his executive team were unable to launch a viable operating model.”

He added: “Their cash burn rate was the highest I've ever seen in any industry from any company. I warned over and over in articles, LinkedIn posts, and in private conversations with individuals at the company and the press, that it couldn’t survive.”

“When I would communicate with executives from Gorillas, and individuals with an interest in Gorillas and the rapid grocery delivery industry, I always stated the following: "Gorillas has to find a way to merge with Flink. If this doesn't happen, I don't think Gorillas can make it on their own.”

“This means that Delivery Hero will likely invest in Gorillas, but I'm not convinced they'll acquire the firm. In my professional opinion, Getir will acquire Gorillas and they'll do so out of spite. It appears to have happened.”

Getir and Gorillas did not respond to our request for comment.

AcquisitionsStaff WriterGetir, Gorillas, Brittain Ladd, Rapid delivery, Quick commerce, Rapid grocery delivery, On demand delivery services, Acquisitions, StartupsComment