Turkish fast delivery company Getir is purportedly considering the sale of online shopping platform n11 among options in discussions with investors on a new road map, two sources close to the matter said.
Getir grew rapidly during the COVID-19 pandemic, attracting high-profile investors and reaching a valuation of $12 billion (TL 390 billion) two years ago as it established operations across Western Europe and the United States.
However, as the pandemic ended and people returned to physical shopping, high profit margins dropped, making it harder to meet costs arising from investments in these markets.
Earlier this month, Sky News reported Getir was considering asset disposals, including a possible sale of its ride-hailing BiTaksi service and the sale of the U.S.-based online grocery application FreshDirect, which it acquired late last year.
"There are many options on the table being discussed with investors. We cannot say every option discussed will happen. One of them is the sale option for n11," one source told Reuters.
Getir declined to comment on the issue.
In 2022, Istanbul-headquartered Getir laid off 14% of its employees in Türkiye, and last year, it announced its departure from the French, Italian, Spanish and Portuguese markets, limiting its activities to Türkiye, Britain, Germany, the Netherlands and the U.S.
"A way out is being sought. Options are being evaluated and n11 is one of them," a second source said, adding that it was unclear what decision would ultimately be made.
Getir became a partner in n11 in early 2022 before buying the remaining shares from Türkiye's Doğuş Group and South Korean SK Planet.
A third source, who, like the others, requested anonymity to discuss private matters, said n11 offices were merged with Getir as part of downsizing and layoffs in recent weeks. "There may be a sale afterward, or they may continue like this."
Turkish businessperson Nazim Salur founded Getir in 2015. Its investors included Mubadala Investment Company, Abu Dhabi Growth Fund (ADG), Alpha Wave Global, Sequoia Capital and Tiger Global.
The first source said that as part of strategic discussions, Getir may consider exiting the U.S., where it bought FreshDirect but has failed to meet its expansion goal. Getir operates in New York and Chicago.
The company also declined to comment on existing markets.
German media reported on Wednesday that Getir was close to withdrawing from Germany, a year and a half after it bought Gorillas in a deal worth $1.2 billion.