Foodora Canada delivery service to close down as of May 11

Food delivery service Foodora says it will no longer do business in Canada as of May 11.

The Germany-based company, which launched in Canada five years ago, said in a release Monday that it isn’t making enough money in Canada to stay open.

The company delivers cooked meals from restaurants to customers who order them on a smartphone app, taking a cut of the sale. It competes with services such as DoorDash and UberEats.

“We’re faced with strong competition in the Canadian market, and operate a business that requires a high volume of transactions to turn a profit,” the company said.

“We’ve been unable to get to a position which would allow us to continue to operate without having to continually absorb losses.”

Foodora has been engaged in a high-profile fight with its delivery drivers and riders who have been trying to unionize.


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