The potential Talabat IPO remains subject to market conditions, approval of a prospectus by securities regulators and clearance from Delivery Hero's management and supervisory boards.
Speaking on a call with CNBC following the news, Delivery Hero CEO Niklas Ostberg said that the proposed Talabat market listing was about bringing in local investors in the region to co-invest and support the unit.
"We have been looking into those opportunities to bring in stronger support," Ostberg told CNBC Thursdsay. "The Middle East is a very large part of our business and ... there is clear value for us to further build a strong base there."