By Tracy Qu
Chinese food-delivery giant Meituan plans to invest $1 billion to launch operations in Brazil, as stiff competition at home pushes it to expand overseas.
The Beijing-based company plans to roll out food-delivery app Keeta in Brazil in the next few months, marking its initial foray into the South American market.
Meituan disclosed the move in a statement posted on its website Tuesday, saying that founder and Chief Executive Wang Xing has signed an investment agreement with Brazil's president, Luiz Inacio Lula da Silva. The company said it will invest $1 billion in establishing and expanding Keeta in Brazil over the next five years.
The deal comes as the Brazilian president makes a state visit to China, a move seen as a bid to strengthen cooperation between the two countries amid global trade tensions.
Chinese leader Xi Jinping met South American leaders in Beijing on Monday to discuss deepening ties.
Meituan's entry into Brazil marks its latest effort to expand abroad, following initial success in Hong Kong and the Middle East.
The delivery giant is facing an increasingly crowded market in China, as other e-commerce heavyweights like JD.com expand into the food-delivery space.
Wang said in the statement that Brazil is a big market with great potential, and that its Keeta service will aim to improve the local consumer experience and create more job opportunities in Brazil.
Write to Tracy Qu at tracy.qu@wsj.com
(END) Dow Jones Newswires
May 13, 2025 04:37 ET (08:37 GMT)
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