Foodora Bankruptcy Filings Reveal Over $4.7 Million Owed to Restaurants and More in Canada
Earlier this week, Foodora announced it was shutting down its Canadian operations on May 11, citing it was unable to make a profit in Canada, after five years of business.
On Thursday, bankruptcy proceedings revealed Foodora owes over $4.7 million to restaurants and other creditors in Canada, according to CTV News.
An 88-page insolvency filing listed the names of all creditors owed at least $250, with most being restaurants that have not been paid.
One Toronto fried chicken restaurant is owed over $2,000, while other creditors are owed hundreds of thousands of dollars, including the Canada Revenue Agency and Google, for example.
Foodora operated in 10 cities across Canada and had over 3,000 restaurants using its app to offer delivery to customers.
The company’s couriers in Toronto were the first unionized group of app-based workers, joining the Canadian Union of Postal Workers last fall. CUPW slammed Foodora earlier this week calling its decision to go under during the COVID-19 pandemic as “grossly unfair and unreasonable.”
Foodora is a subsidiary of Delivery Hero SE based in Berlin, Germany.