ShopWings, an online grocery delivery service backed by retail group Tengelmann and e-commerce group Rocket Internet, agreed on Thursday to merge with peer Grocery Butler, which is backed by Asia Pacific Internet Group (Apacig).
Both ShopWings and Grocery Butler are based in Australia and offer a service that enables users to order food from local grocery stores and have it delivered within two hours. The new company will retain the ShopWings name and be headquartered in Sydney.
ShopWings secured $13.6m from Tengelmann Ventures, the corporate venturing unit of Tengelmann, Rocket Internet and unnamed investors in February 2015.
Grocery Butler secured $250,000 in seed funding in May 2015, according to deals database CrunchBase. Accelerator BlueChilli backed the startup through its Venture Fund, though it has not confirmed the size of its investment.
Apacig, a joint venture of Rocket Internet and telecommunications firm Ooredoo, is also an investor. It will remain a shareholder in the merged company, as will BlueChilli Venture Fund.
ShopWings was previously also available in Germany, but the company’s operations in the country have been taken over by Bonativo, another food delivery startup backed by Tengelmann Ventures and Rocket Internet.
The new company will combine the technology platforms and logistics networks of both startups and the deal will give ShopWings access to a total of 15,000 current customers.
The merged company will be led by Guillaume Ang, currently chief operating officer of ShopWings, who will become chief executive. Grocery Butler’s current CEO Michael Parthenides will be in charge of the company’s Melbourne offices.