Shares of Dubai-listed food delivery platform Talabat fell nearly 5 percent on Thursday, a day after Qatari authorities imposed a temporary suspension of its operations.
The stock slipped 4.9 percent to AED 1.16 ($0.31) on the Dubai Financial Market, extending losses to 17 percent since the start of the year and nearly 25 percent since its $2 billion IPO in December 2024.
Qatar’s Ministry of Commerce and Industry ordered the administrative suspension, Talabat disclosed in a filing to the DFM.
“The company is engaging with authorities to resolve the issue at the earliest possible time,” Talabat said in the statement.
It added that an internal review was underway to evaluate the matter, including potential financial consequences.
The company also noted it was taking steps to limit disruption for customers, partners, and riders, though no further details were provided.
AGBI contacted Talabat for additional comment, but the company’s PR team referred back to its market disclosure.
While Talabat’s statement did not specify reasons, Qatar’s ministry cited “repeated violations and multiple substantiated complaints” as grounds for the suspension.
Bahrain-based Sico Research described the move as poorly timed for Talabat, given intensifying competition in the region.
China’s Keeta, which has recently launched in Qatar with incentives such as QAR 200 vouchers and free delivery offers, is expected to benefit directly.
“A one-week suspension is an ideal opening for Keeta to encourage downloads and convert users,” Sico noted.
The firm added that acquiring customers is the most difficult hurdle for new delivery players, but Talabat’s suspension gives Keeta an advantage in building scale.
Shares of Dubai-listed food delivery platform Talabat fell nearly 5 percent on Thursday, a day after Qatari authorities imposed a temporary suspension of its operations.
The stock slipped 4.9 percent to AED 1.16 ($0.31) on the Dubai Financial Market, extending losses to 17 percent since the start of the year and nearly 25 percent since its $2 billion IPO in December 2024.
Qatar’s Ministry of Commerce and Industry ordered the administrative suspension, Talabat disclosed in a filing to the DFM.
“The company is engaging with authorities to resolve the issue at the earliest possible time,” Talabat said in the statement.
It added that an internal review was underway to evaluate the matter, including potential financial consequences.
The company also noted it was taking steps to limit disruption for customers, partners, and riders, though no further details were provided.
AGBI contacted Talabat for additional comment, but the company’s PR team referred back to its market disclosure.
While Talabat’s statement did not specify reasons, Qatar’s ministry cited “repeated violations and multiple substantiated complaints” as grounds for the suspension.
Bahrain-based Sico Research described the move as poorly timed for Talabat, given intensifying competition in the region.
China’s Keeta, which has recently launched in Qatar with incentives such as QAR 200 vouchers and free delivery offers, is expected to benefit directly.
“A one-week suspension is an ideal opening for Keeta to encourage downloads and convert users,” Sico noted.
The firm added that acquiring customers is the most difficult hurdle for new delivery players, but Talabat’s suspension gives Keeta an advantage in building scale.
