Shares in Berlin-based Hello Fresh competitor Marley Spoon (ASX:MMM) dipped more than -5% in afternoon trades on Wednesday after announcing it’s delisting from the ASX.
Making the decision voluntarily, the news inks the end of Marley’s 6-year run on the bourse. It originally floated in 2018, hitting the bourse at over $1.30 per share trading CDIs.
That came in the same year Hello Fresh Australia inked its first profit down under, it too had operated for six years before turning over a positive cash year. Hello Fresh is also headquartered in Berlin.
Since it hit the bourse down under, Marley has had a fairly wild run.
Predictably, it was a beneficiary of the COVID-era – forced lockdowns underscored the value proposition of the food-to-your-door delivery stock. That calculus was obvious to investors of all levels of sophistication.
At its peak, the stock hit an all time high just under $3.50 per share in August of 2020, the first year of the pandemic. It would hit $3.16 per share in late June of 2021, but never again reach those highs.
By early January 2022, the stock was less than $1 per share. As of 14 August 2024, 1Y returns are down more than -80%.
The de-listing comes in the same 48 hour window Hello Fresh shares jumped 19% overseas as the company continued to beat estimates.
Marley Spoon in March this year guided towards single-digit revenue growth in CY2024 vs CY2023.
At the end of the day, Marley Spoon wasn’t able to penetrate as deeply into the Australian market as Hello Fresh – the latter brand is synonymous with home food delivery services of its ilk, while Marley Spoon remains something of an outsider.
Whether the company intends to exit Australia entirely is unclear.
MMM last traded at 1.7cps.